US and China and the restrictions on mobility due to Covid-19 in China have further exacerbated disruptions to global supply chains and Chinese tourist travel to various countries. The high level of political and economic fragmentation as well as worsening disruptions in global supply chains have caused and will further weaken global economic growth from the supply side.
The act directed the regulators with rulemaking authority to define QRMs taking into account “underwriting and product features that historical loan performance data indicate result in a lower risk of default.” To define QRMs, regulators conducted extensive research on the types of mortgages that have low credit risk, even in stressful economic environments.