4 ms·
I would suggest that getting credit faster and more easily is not a benefit for consumers but a benefit to business also.
by njarboe 9y ago
I would suggest that getting credit faster and more easily is not a benefit for consumers but a benefit to business also.
- JumpCrisscross 9y ago> I would suggest that getting credit faster and more easily is not a benefit for consumers but a benefit to business also Access to credit reduces poverty, internationally [1] and domestically [2]. It is also critical to letting poor and middle class individuals start small businesses [3]. Consumers and businesses benefit from financial systems that efficiently allocate credit. That's why both consumers and businesses voluntarily finance purchases with credit. (This is not a Panglossian claim that our system is perfect. Credit is better than no credit for consumers. Our current CRA system, while a complete mess, is still probably better than forcing trust to be re-ascertained at every commercial interaction.) [1] https://www.microfinancegateway.org/sites/default/files/mfg-en-paper-impact-of-microcredit-on-poverty-evidence-from-bangladesh-may-2002.pdf https://www.microfinancegateway.org/sites/default/files/mfg-... [2] http://www.nytimes.com/2013/10/29/business/microcredit-for-americans.html http://www.nytimes.com/2013/10/29/business/microcredit-for-a... [3] https://pdfs.semanticscholar.org/9b12/726539fadbcaaebcd7ea9da5760d61862fce.pdf https://pdfs.semanticscholar.org/9b12/726539fadbcaaebcd7ea9d...
- mmirate 9y agoMy prior expectation of almost any of the aspiring business-owners that you describe, is that they do not have the knowledge necessary to successfully run their business.