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Old 10-12-2017, 01:43 PM  
thommy
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Quote:
Originally Posted by Barry-xlovecam View Post
[LIST=1]

Trump floated the idea to allow Puerto Rico to declare Bankruptcy and settle their debt at some discount. A *haircut* to the investors of state and municipal bonds. Should that happen: Interest rates on that class of bonds will rise dramatically and all states and cities will faced increased costs. There is no US constitutional guarantee of state, city (and territorial) bond principal.
correct and he canīt do a lot more because of the missing state status of puerto rico.

more funny is the this status does also nor allow to use the bankruptcy code and the "Puerto Rico Oversight, Management and Economic Stability Act" is under fire from trump
and can be canceled in case his morning coffee is not hot enough.

so yes what happend here was already in movement but another consequence of US foreign policy.
this country was used to produce cheap and did not have a VAT for that reason (if so if would be more expensive to produce there).
the imports from PR to USA have been cheaper for that reason and the tax on the profit
(for work done outside the USA) was paid in USA.

from WHAT should this country live if they do not have tax income ????

now the second funny part:

this "Puerto Rico Oversight, Management and Economic Stability Act" gave the PR government the ability to set up VAT and with that a tax income.
THIS tax income was used as value for bonds and those bonds where allowed to buy from hedge and pensions fonds AFTER TRUMP CANCELED THE REGULATIONS OF THE FINANCIAL MARKET.

all this fonds have been allowed again to buy that high risk papers with the money of their members.

and here the circle closes and approves that trump have NO FUCKING CLUE of international and national economy - he is a pure and very bad amateur and i think even paul markham could beat him in this position.

however that will end it will be paid by the US taxpayer - there is NO WAY OUT !

the only question is if the big society is shouldering that mess or if it will be paid by the poor assholes who wanted to safe something for the time when they are old.
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