News and Commentary
Zack Colman and Katy O’Donnell write at Politico about the threat that climate change poses to the American mortgage market. They find that the potential cost to taxpayers as two of the government’s largest housing subsidies, mortgage guarantees and flood insurance, come under threat from climate risk to be massive and potentially catastrophic enough to cause a housing crash.
Peter Schroeder writes at Reuters about the Fed’s upcoming annual stress tests and how they could be influenced by the economic upheaval of COVID-19.
The House Financial Services Committee will be holding a hearing on how to improve payment systems for stimulus. In the announcement, they referenced the possibility of using FedAccounts as a means of guaranteeing speed and access to cash transfers.
An article published in the Cato Journal discusses the implications of central bank independence on institutional legitimacy and the rule of law.