Tag Archives: debt

Unseen Toll: Wages of Millions Seized to Pay Past Debts

Unseen Toll: Wages of Millions Seized to Pay Past Debts
Above: Kevin Evans in his small one bedroom apartment in Springfield, Mo. Evans, who lost income and his home in the recession, is now having his wages garnished by Capital One after falling behind on his credit card payments. (Colin E. Braley/AP Images for ProPublica) A new study provides the first-ever tally of how many employees lose up to a quarter of their paychecks over debts like unpaid credit card or medical bills and student loans. ... Read more

New Cooperative Refinances Student Debt with Community Funds

New Cooperative Refinances Student Debt with Community Funds
Over the past two decades, the amount of money a college student must borrow to pay for their education has doubled. The graduates of 2014 now sit at the top of the class in student debt. Tuition fees have risen dramatically as household incomes have stagnated, at best, causing some 70 percent of students to fund their higher educations through loans. During the recession, the student debt issue really picked up steam as these kids ... Read more

The Lure of Taxable Debt

The Lure of Taxable Debt
Some universities have started forgoing their ability to issue tax-exempt bonds, long considered a benefit of their nonprofit status. Issuing taxable bonds instead makes sense under market conditions that defy conventional wisdom and allows institutions to avoid additional regulations on tax-exempt bonds, according to officials at an annual conference of college business officers. Read more

Borrowing Against the Future

Borrowing Against the Future
America’s higher education system is gaining a reputation for high costs and large inequities. In 2012, the U.S. spent $491 billion on higher education1 and twice2 as much per student than comparable industrialized countries. Where is all that money going? Scholars have offered several explanations for these high costs including faculty salaries, administrative bloat, and the amenities arms race.3 These explanations, however, all miss a ... Read more

The coming ‘tsunami of debt’ and financial crisis in America

The coming ‘tsunami of debt’ and financial crisis in America
The US Congressional Budget Office is projecting a continued economic recovery. So why look down the road – say, to 2017 – and worry? Here's why: because the debt held by American households is rising ominously. And unless our economic policies change, that debt balloon, powered by radical income inequality, is going to become the next bust. Our macro models at the Levy Economics Institute are showing that the US economy is about to face a ... Read more

Economy slumps, Wall Street booms

Economy slumps, Wall Street booms
Alongside the massive diversion of social wealth to the financial elite, the IMF, World Bank and Fed continue to demand the gutting of past social reforms and protections for workers, in the name of “job creation” and “competitiveness.” Calling for cuts in government subsidies that hold down food and energy costs and privatization of state-owned industries, the World Bank in its June 10 Global Economic Prospects report stated: “In a world ... Read more

The French are right: tear up public debt – most of it is illegitimate anyway

The French are right: tear up public debt – most of it is illegitimate anyway
As history has shown, France is capable of the best and the worst, and often in short periods of time. On the day following Marine Le Pen's Front National victory in the European elections, however, France made a decisive contribution to the reinvention of a radical politics for the 21st century. On that day, thecommittee for a citizen's audit on the public debt issued a 30-page report on French public debt, its origins and evolution in the ... Read more

Enthusiasm High for a New Economy for Baltimore

Enthusiasm High for a New Economy for Baltimore
With growing recognition that the economy fails to serve the interests of most people, alternative institutions and processes based on economic democracy are beginning to pop up everywhere. This movement points to what is called by some as “the New Economy.” Throughout the country people are joining a global movement to create structures grounded in democratic control of community wealth – an economy of, by, and for the people. On May 16 ... Read more

Economy conference hits Baltimore

Economy conference hits Baltimore
Paul Jay, CEO of The Real News Network introduced the conference graciously hosting and televising the event in his town hall space A large crowd was very engaged listening intently to the opening plenary comprised of Margaret Flowers (co-director, It’s Our Economy), Diane Bell Mc-Koy (President& CEO. Associated Black Charities), Michael Coleman (United Workers Leader) and Jacqui Dunne (CEO Danu Resource). Gar Alperovitz was scheduled to be ... Read more

This man made millions suffer: Tim Geithner’s sorry legacy on housing

This man made millions suffer: Tim Geithner’s sorry legacy on housing
At every turn on housing — on mass refinancing, on principal reduction, on leverage for homeowners in the bankruptcy process, on forcing banks to write down mortgages, on a modern-day HOLC — the evidence points to Tim Geithner preferring whatever option put the least pressure on banks, rather than actually helping ordinary people. He made far more excuses to do nothing than any effort to make a difference. In fact, the programs were never ... Read more