personal responsibility

Cash vs. Credit: More on the Debate about Payment Mechanisms

The following is a guest post from David Rodwell who shares my interest in whether using credit cards vs. cash actually change an individual's purchase behavior.  Here he discusses some recent research on the subject.  I respond with my thoughts after the article.   Payment Mechanism, Product Perception, and Spending It’s been theorized for quite …

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Modified Mortgages: A New Lesson in Moral Hazards

The Wall St. Journal (and every other reputable news agency) is reporting today that the actions taken by banks to modify the mortgages of those citizens who were already delinquent on their mortgages has not had the desired effect. Specifically over 50% of these individuals re-defaulted within 6 months. This of course calls into question …

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