Posted on 06/28/2015 6:37:41 PM PDT by tcrlaf
Puerto Ricos governor, saying he needs to pull the island out of a death spiral, has concluded that the commonwealth cannot pay its roughly $72 billion in debts, an admission that will probably have wide-reaching financial repercussions.
The governor, Alejandro García Padilla, and senior members of his staff said in an interview last week that they would probably seek significant concessions from as many as all of the islands creditors, which could include deferring some debt payments for as long as five years or extending the timetable for repayment.
The debt is not payable, Mr. García Padilla said. There is no other option. I would love to have an easier option. This is not politics, this is math.
It is a startling admission from the governor of an island of 3.6 million people, which has piled on more municipal bond debt per capita than any American state.
(Excerpt) Read more at nytimes.com ...
High-Speed Rail.
There’s the answer. If it’s good for California, then it’s good for Puerto Rico.
Hey, it worked really well for Argentina, Greece and Venezuela, etc. ... what could possibly go wrong with replacing old debt that couldn’t be repaid with new debt that won’t be repaid?
The _only_ way that the debt would become manageable is through spectacular inflation/devaluation. Or, “something else”. As an example, I believe that I have some unused 200 billion mark stamps from 1920’s Germany, that a kindly older neighbor stamp collector gave me when when I was a boy. I remember thinking back then in the 60’s, I could have probably bought a fairly good chunk of West Germany with that kind of money...had it been any good.
Puerto Ricans are U.S. Citizens.
The good news is property is cheap. Wait for the economy to collapse, go down and buy a nice place on the beach.
Harder for Obozo’s stormtroopers to get to you down there.
It has run out; nothing gets fixed, and the urban welfare hives start laying off cops & teachers...
They want casinos in Newark NJ now so they can move up to the status of Atlantic City (which is a dump).
We’ve lost a lot of bank jobs to southern states, and recently lost the Mercedes headquarters to Atlanta. None of those lost jobs are being replaced; I’m sure most of them are resulting in foreclosures in some very pricey areas...
There are “For Sale” signs everywhere here; rural Sussex County (bordering NY and PA in the northwest) had been a haven for those seeking relief from the crushing taxes now is bleeding population as well.
“uh, no. they are US citizens already”
You won’t think that if you go to New York City.
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