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A comment on Puerto Rico files for biggest ever U.S. local government bankruptcy. Parent comment

Re:Puerto Rico files for biggest ever U.S. local government ... by knob on Wednesday May 03, 2017 @04:39PM (#14259844)
I will admit that you are right on that. It's a tough spot to be in.

I bought, and yet to fully read, "Debt - The first 5000 years". One of the things the book states at the start is what you are saying: Not every debt has to be paid off. One of the risks creditors take is the possibility of having a debt not paid back.

I also remember how Haiti was, to this day, punished via monetary means. Haiti wanted freedom? Fine... they will (and did) cripple the entire country.

Another example from the book: Madagascar. The French invaded, and took out their Queen. Then imposed taxes on the population as to get back the money they invested in the invasion/war. wtf

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Re:Puerto Rico files for biggest ever U.S. local government ... by vkou on Wednesday May 03, 2017 @04:44PM (#14259885)
> Another example from the book: Madagascar. The French invaded, and took out their Queen. Then imposed taxes on the population as to get back the money they invested in the invasion/war. wtf

We currently charge imprisoned people for room and board for their jail stays.

http://www.bbc.com/news/magazine-34705968

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Re:Puerto Rico files for biggest ever U.S. local government ... by thehappy on Wednesday May 03, 2017 @10:43PM (#14262020)
> Another example from the book: Madagascar. The French invaded, and took out their Queen. Then imposed taxes on the population as to get back the money they invested in the invasion/war. wtf

That's a leveraged buyout. Borrow money to take control of another entity. Use revenue from the target entity to pay that debt. Profit.

[ Parent | on HN ]