JENNIFER TAUB: With more than half of American consumers classified as
having subprime credit scores, it is no surprise that subprime lending
is once again on the rise. Making expensive loans to the underemployed
and overextended may help fuel economic growth; however, it is neither
just nor sustainable. Dependence on higher-risk subprime loans to boost
spending seems to be a symptom of larger problems––low wages and income
volatility.
