Andrea Presbitero on Rewards Cards and Wealth Inequality

<p><span style= "font-size: 14.0pt; font-family: 'Times New Roman',serif; mso-fareast-font-family: 'Times New Roman'; mso-ansi-language: EN-US; mso-fareast-language: EN-US; mso-bidi-language: AR-SA;"> Credit cards that offer rewards like travel discounts seem a good idea, but rewards cards can be costly for anyone who keeps a running balance. So should there be rules around who gets one? IMF economist Andrea Presbitero is coauthor of a study that looks at the distributional impact of rewards cards. In this podcast, Presbitero says while the high interest rates and penalties associated with these cards can widen wealth inequality, limiting access is not the answer. <a href= "http://traffic.libsyn.com/imfpodcast/Andrea_Presbitero-transcript-IMF_Podcast.pdf"> Transcript</a>: https://bit.ly/3r5fzwY</span></p>