stop electing RATS!!!!!
Posted on 07/30/2015 4:08:08 PM PDT by jimbo123
While the ongoing economic drama in Greece is still dominating the financial news headlines, some analysts say Americans should be paying closer attention to a crisis that's unfolding in their own backyard, in Puerto Rico.
The U.S. territory and self-governing commonwealth once had one of the most dynamic economies in the Caribbean, fueled in part by manufacturing investment from the American mainland and federal tax breaks.
But the end of those tax breaks nearly a decade ago, along with fallout from the Great Recession, have crippled Puerto Rico's economy over the ensuing years.
Puerto Rico is scheduled to make nearly $200 million in bond payments on August 1, with over $5 billion more due over the next 12 months.
But now, with the island's governor saying its $72 billion in public debt is "not payable," and the Obama Administration saying it won't bail out the commonwealth, Puerto Rico is in danger of defaulting.
It's also entering relatively uncharted economic waters. As a U.S. territory, Puerto Rico cannot file for Chapter 9 bankruptcy protection like Detroit did last year.
Analysts are saying that, given the current situation, one of the only options open to Puerto Rico is the imposition of strict fiscal and structural reforms, designed to help the island's economy eventually grow its way out of the economic crisis.
(Excerpt) Read more at cbsnews.com ...
Really 70 cents on the dollar haircut. 30 cents recovery.
Don’t borrow and spend what you cannot afford. That is my advice.
My advice is don’t lend money to people who clearly can’t pay you back. Something to keep in mind when Goldman and JPM-Chase start pushing for a gubmint bailout of PR.
Just change Puerto Rico to a penal colony. Lots of money flowing in. Send all the bad guys down there.
Here comes the Bailout......BOHICA America.
Grant Puerto Rico statehood, and then the Federal Treasury can assume their debt through monetization, the increase in the national debt would not be all that much, doncha see.
(OK, OK, this was just a little sarcasm spread in between. Puerto Rico will NEVER qualify as a part of the Federal Union, for so many reasons, not the least of which is just not having sufficient commonality with the US legal system.)
As long as these PUERTO RICANS keep electing liberals, socialists and communists to run their government, they will continuously be on the “SHITTY END OF THE STICK”. Every politician in that territory thinks that by offering the people another “free bee”, they will keep getting elected, is right on. Those Puerto Ricans that have any get up and go, have got up and left. Leaving those that can’t live without government handouts
No. And we shouldn’t bail them out, either.
I’m sure ¡Yeb! would love nothing more than a huge chunk of taxpayer money for Puerto Rico so he can make it the 51st state.
stop electing RATS!!!!!
Suuuure.
Put them on the Drachma.
“My advice is don’t lend money to people who clearly can’t pay you back.”
Lol...
That’ such old, outdated thinking.
Congress, and Obama, put you on the hook for it, and ALL the CDS’s out there.
Jeb’s UBS bankster donors are going to have a very very bad day on Saturday when PR defaults.
They will soon have an even better tax advantage, as you will be able to take capital losses when they turn out to be worthless.
ping
How efficient and competitive is a local economy if it loses money without special tax breaks?
Puerto Rico has been running a government Ponzi Scheme for years.
We could possibly think about bailing them out if they hung all their Shill politicians.
I’d fly to Puerto Rico to see all their crooked politicians hanging from the streetlights.
I’d take a picture of them hanging there and make it into a post card.
I’d send it to all our socialists.
“Greetings from sunny Puerto Rico! Wish you were here!”
Neither a borrower nor a lender be, Do not forget: Stay out of debt; Think twice, and take this good advice from me, Guard that old solvency. There’s just one other thing you ought to do, To thine own self be true.
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