The US government can now publicly shame people who owe it money
What happened
The US Treasury Department is proposing new rules that let federal agencies publicly name people who owe the government money. This means agencies can use public shaming as a new way to collect unpaid debts.
Why it matters
For decades, the government has had various ways to collect unpaid debts, like garnishing wages or seizing tax refunds. Publicly naming debtors adds a new tool to this collection arsenal, shifting the social cost of delinquency. It makes the debt a public problem for the individual, not just a private one between them and the government.
The signal
Watch for the first few agencies to adopt these rules and how quickly they start publishing lists of delinquent debtors.