Brandon Bolen
The Scott L. Probasco, Jr. Distinguished Chair of Free Enterprise will host J. Brandon Bolen, assistant professor of economics at Mississippi College, to present a talk entitled “Credit for Me but Not for Thee: Small-Dollar Loans and Interest Rate Caps” on Jan. 25 at 5:30 p.m. in the Tennessee Room at the University of Tennessee at Chattanooga.
The session will provide an overview of, and general education about, small-dollar credit products — think credit cards, installment loans and cash advance programs — as well as alternatives to and common misunderstandings surrounding these financial solutions.
Prof. Bolen will also discuss topics like interest rate caps and their downstream impact.
“I’m an economist, so of course, I find these topics fascinating,” said Dr. Claudia W. Kramer, UTC’s current Probasco Chair. “But the thing I love most about economics is that the topics are truly so relevant to all of us.
“During this talk, Brandon will discuss how interest rate caps may sound good, but they usually hurt the people they are designed to help — the most financially vulnerable,” Dr. Kramer continues. “This seems counterintuitive, but Brandon provides both intuitive reasoning and recent evidence showing how interest rate caps create credit shortages and other unintended consequences.”
The free event is open to the general public, and attendees are simply asked to register
here. A reception with heavy hors d'oeuvres will follow the discussion.
“Economic education is one of the primary goals of the chair, and I am excited to kick off the new year with such a relevant and timely topic,” said Dr. Kramer.