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Puerto Rico: The Other Debt Crisis

While Greece has center stage in the arena of on-the-brink finance, the precarious situation in the U.S. territory of Puerto Rico may actually take a greater toll on the American economy. Last month, Puerto Rico’s governor, Alejandro Garcia Padilla, announced that the island’s public debt of $72 billion was not payable. This includes debts owed not just by the central government, but also those of public corporations, like utility companies, and cities. An archipelago of islands that...

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