Cryptocurrency needs clear classification, streamlined regulatory framework

Calls to restrict the growth of the cryptocurrency industry persist, especially in the aftermath of the highly publicized collapse of the cryptocurrency exchange FTX. It’s understandable that politicians and regulators are concerned with the stability and reliability of the emergent digital asset space amid volatile prices and companies defaulting. However, these developments shouldn’t immediately trigger […]

ACI Report Reveals Long-Term Consequences of Short-Term Interest Rate Caps

Today, the American Consumer Institute (ACI) released a new report anticipating negative effects on economic prosperity and opportunity in the case of government-mandated caps on short-term interest rates. An increasing number of states have restricted access to small-dollar loans with an interest rate of over 36 percent. Some federal legislators support extending that policy to […]

ACI Study Reveals Florida Insurance Market Plagued by Attorney Fee-Shifting

Today, the American Consumer Institute (ACI) released a new study exposing the perverse incentives driving financial instability in Florida’s homeowner insurance market. The state’s generous fee-shifting policy has allowed attorneys to collect disproportionate attorney fees in assignment of benefit (AOB) lawsuits, encouraging more costly lawsuits. Today, Florida accounts for nearly 80% of the country’s insurance […]

The Credit Card Competition Act threatens to end credit card rewards

Credit card rewards are in the news again for all the wrong reasons. In late July, Senate Majority Whip Richard Durbin (D-Ill), with the help of Sen. Roger Marshall (R-KS), introduced the Credit Card Competition Act of 2022 (CCCA). Described by its authors as enhancing the “competition and choice in credit card network market,” the CCCA is supposedly designed to […]

The Economic Standard: Lawmakers provide crypto clarity

A bipartisan group of U.S. Senators — Debbie Stabenow (D-MI), John Boozman (R-AR), Cory Booker (D-NJ), and John Thune (R-SD) — recently introduced an important piece of legislation that, if enacted, would alleviate much of the regulatory confusion surrounding cryptocurrencies. While only 16 percent of Americans have ever used or purchased these digital tokens, the U.S. has […]

The Hill: The Feds Are Coming for Your Credit Card Rewards

Just as debit card reforms harmed consumers, so too will credit card reforms. The biggest casualty of this new legislation will be co-branded credit cards, more commonly known as rewards credit cards, which will cease to exist. For the sake of consumers and merchants, Congress must put a stop to such hazardous proposals as the unintended consequences […]

Student Loan Forgiveness Treats the Symptoms and Not the Disease

President Biden’s student loan forgiveness plan was met with vocal responses from proponents and opponents alike. Some believe the action is essential to raise living standards and help those struggling to make ends meet. On the other hand, critics contend that forgiving loans will only fuel inflation and provide a handout to the rich. What is missing […]

Durbin’s Broken Promise

In 2010, Senator Richard Durbin (D-IL) promised that the restrictions he imposed on debit cards through his eponymous amendment to the 2010 Dodd-Frank Wall Street Reform Act would not extend to credit card companies. Durbin reasoned that because credit card companies faced greater risks from consumers defaulting, they warranted less regulatory scrutiny.  Fast forward 12 […]

The Economic Standard: CFPB has Overstepped Its Authority

The Consumer Financial Protection Bureau (CFPB) has an important role of protecting consumers’ interests in the financial sector. As such, the Bureau is responsible for regulating in a manner that does not harm consumers or businesses.  This makes the Bureau a powerful institution with regulatory reach across a wide range of economic issues and, as a consequence, […]