That the quantity of credit available to American consumers should be significantly reduced?

I am in a Debate class and am having some trouble finding the information that I need to come up with the right type of constructivge..just needing some help with either cites, quotes, references..anything that will help..thanks(my partner doesnt help too much)|||I assume that you are arguing that consumer credit SHOULD be limited?





Point 1) Bankruptcy rates are increasing (I will check for data sources)





Point 2) Laws for bankruptcy changed to remove the ability of consumers to get out from under consumer debt (credit cards) ONLY. This was done at the request of credit card companies who were seeing record bankruptcy rates





Follow the link below to watch a PBS special on the sneaky tricks Credit Card companies do. You can actually watch the show online. It was filmed before the law changed so that information is not on the show.





This should give you a decent start. By the way, I agree that credit should be limited more than it is. When I got my home mortgage, they offered to loan me WAY more than I should ever borrow or could ever repay.|||Arguing this as a consumer protection measure means you have to assume the consumers are incompetent to manage their finances. This may be true , but is hard to do based on economics because economics assume consumers are rational and know how to maximize their utility. You can however argue that banks and finance company managers have an incentive to maximize profits by making risky loans, even at the risk of becoming insolvent, because the loss due to insolvency does not fall on them, but on others. This is a problem that has long been recognized for banks, and as a consequence their deposits are insured by the FDIC, and they are regulated to prevent bank failures from damaging the economy as happened in the 1930's. The Savings an Loan crisis of the 1980's demonstrate that the potential for problems is still here.|||I'm in the same boat you are- but here is what I have gathered.


To argue the Affirmative side of the topic, you should probably take the approach of chronic spenders and problems associated with too much credit. Impact this in your speech. The negative will obviously point out that this is for relatively small numbers of people, but if you argue it well in the CX, then you'll be o.k. Just point out the amount of damage the people cause to the economy.


I made a list of arguments.


1. Current national average savings per household is in the negative numbers.





2.The amount of consumer spending has increased at a faster rate than consumer savings, which creates a great imbalance. (U.S. Department of Commerce)





3.Credit lenders are solely for profit, and many times they offer to give you more credit than you actually need.





4. Bankruptcy rates have increased.





5. Credit companies (particularly credit card companies) look for young and naive people they know will use their credit without too many questions. This is unethical.





6. In the past, they had caps on amount of credit available, and with that implemented, there were less problems with credit.





I'm sure there is a lot more things you could think of, but this is what comes to mind. If you debate this, in public forum, you really do not need a lot of statistics (meaning the other side cannot ask for them directly) but they do help with making an impact in your case.





I could not find much evidence, but these helped me understand the topic better.





The Wall Street Journal: Guide to Understanding Personal Finance had some good stuff on credit and the way it worked.





Checkout the U.S. Census Bureau website and they have some statistics. http://www.census.gov/|||Hello,


I am also on a debate team with the same topic. May I suggest you go to google, put the resolution in the search bar, and choose the first link to the scholarly articles. They have a wealth of good information