The latest York Federal Reserve Board, faced with overseeing Wall Street banking institutions, switched over its usually staid blog that is official week to an extremely contentious argument in protection of high-cost payday lenders, that are partially funded by the exact same big organizations the Fed is meant become regulating.
Michael Strain, a resident scholar in the American that is ultra-conservative Enterprise think tank, co-authored the piece. While articles during the ny Fed’s Liberty Street Economics web log always caution that the views expressed usually do not mirror the positioning for the local bank, its very uncommon to own anybody from an ideological presume tank write an article there. Analysis the final 3 months of Liberty Street Economics articles shows no other example of the occurring.
This article, “Reframing the Debate About Payday Lending,” starts by nearly taunting the countless critics of payday lenders, who charge low-income borrowers up to 400 percent interest for short-term loans (typically due within fourteen days, or the next “payday”). Continue reading
