3 ms·

Is any blame to be assigned to PR for issuing bonds and then not honoring them?

• bliblah 7y ago
  The problem lies in the fact that Puerto Rico (unlike States and other municipalities in the United States) is unable to declare bankruptcy due to being a commonwealth. If they could then these financial institutions would be unable to raid the island's coffers.
  • oh_sigh 7y ago
    US states can't declare bankruptcy which seems the closest analog to what PR is
    • occamrazor 7y ago
      However aren’t US states also obliged to run a balanced budget?
      • oh_sigh 7y ago
        Okay, so PR isn't obliged to run a balanced budget, and they sold bonds that were beyond their ability to repay, and so the people asking for the bonds to be repaid are the bad guys here?
  • deleted 7y ago
    [deleted]