Optimizing Consumer Credit Markets and Bankruptcy Policy
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Ronald J. Mann
This Article explores the relationship between consumer credit markets and bankruptcy policy. In general, I argue that the causative relationships running between borrowing and bankruptcy compel a new strategy for policing the conduct of lenders and borrowers in modern consumer credit markets. The strategy must be sensitive to the role of the credit card in lending markets and must recognize that both issuers and cardholders are well placed to respond to the increased levels of spending and indebtedness. In the latter parts of the Article, I recommend mandatory minimum payment requirements, a tax on distressed credit card debt, and the subordination of payments to credit card lenders in bankruptcy. I also argue that many aspects of the American bankruptcy system, as recently reformed, are overly protective of credit card issuers.
©2011 Walter de Gruyter GmbH & Co. KG, Berlin/Boston
Artikel in diesem Heft
- Article
- Facts on the Ground and Reconciliation of Divergent Consumer Insolvency Philosophies
- Theories of Overindebtedness: Interaction of Structure and Culture
- Conservative Economics and Optimal Consumer Bankruptcy Policy
- The Evolution of Bankruptcy Stigma
- Optimizing Consumer Credit Markets and Bankruptcy Policy
- Bankruptcy Policy in Light of Manipulation in Credit Advertising
- The Value of Home Ownership
- Credit Markets, Exemptions, and Households with Nothing to Exempt
- Velvet Bankruptcy
- Comprehensive Reform of Japanese Personal Insolvency Law
- The Chief Enforcement Officer and Insolvency in Israeli Law
- Personal Bankruptcy in Korea: Challenges and Responses
- Functionalism and Political Economy in the Comparative Study of Consumer Insolvency: An Unfinished Story from England and Wales
Artikel in diesem Heft
- Article
- Facts on the Ground and Reconciliation of Divergent Consumer Insolvency Philosophies
- Theories of Overindebtedness: Interaction of Structure and Culture
- Conservative Economics and Optimal Consumer Bankruptcy Policy
- The Evolution of Bankruptcy Stigma
- Optimizing Consumer Credit Markets and Bankruptcy Policy
- Bankruptcy Policy in Light of Manipulation in Credit Advertising
- The Value of Home Ownership
- Credit Markets, Exemptions, and Households with Nothing to Exempt
- Velvet Bankruptcy
- Comprehensive Reform of Japanese Personal Insolvency Law
- The Chief Enforcement Officer and Insolvency in Israeli Law
- Personal Bankruptcy in Korea: Challenges and Responses
- Functionalism and Political Economy in the Comparative Study of Consumer Insolvency: An Unfinished Story from England and Wales
