As we the focus on Greece, Puerto Rico is in trouble. Puerto Rico a travel economy with cheap wages and high energy cost is under water.
Puerto Rico a part of US continental economy and tied to the FDIC banking and US economy.
The US government has stated it will not bailout Puerto Rico.
Puerto Rico’s problem is not new but just hitting the news streams for our consumption.
A bailout is needed as it is tied to US credit.
There are deep connections to the impact of 2008 economic failures on all these economies.
The news of this seemingly quiet problem unless you love the news is creeping up to show how evasive and problematic our global economy is to sustainability.
The focus on a strong dollar and an expansive job market is vital to produce a recovery.
As Greek debt in public hands and Puerto Rico is private hands there is a need to create strategic restructuring for this $70 billion dollar debt.
The domino effect to these failures will eventually creep into retirement funds and spending. Stay tune.