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Friday, June 10, 2016

Debt Slots & Puerto Rico Bailout

When we go to school, particularly the early elementary years, we're all told how special and important we are and that we all matter both individually and collectively because as children we are the 'Future'

Assuming you had good parents, they also did the same - they built each of us up and made each of us feel valued and loved, etc...

Then by the time one leaves the protective confines of school, then we start to see as young adults that the world does not revolve around us; quite frankly it does not need us..

And when you take the time to study politics and finance, that's when you really understand how inconsequential we all are beyond the debt slots given to each of us.
What is a debt slot?

The banks, corporations and by extension the System figures based on basic everyday needs and life goals we are programmed to seek to accomplish, that there is a general debt value we will carry with each of us for entirety of our lives i.e. a debt slot

For instance, millions upon millions of High Schoolers are pushed by ignorant parents to immediately go to college..  Well that cost big money..  A small percentage will have parents foot the bill, another percentage will do it on scholarship and grants..  

The rest.. non-dischargeable debt that stays forever
So then the next stage of life.. Person has job, has bills, debts, lives off credit cards to fill in the intentional gap between what someone in 20s can earn vs real-world cost

Then there's expenses that go with marriage and family..  Home, kids..  Mortgages, cars,  bills, insurances, more cars....

It is set up where a person is not able to catch up until their 60s at minimum and with health care keeping everyone alive to 100 and the blood sucking rest homes taking all a person has left, in modern times, you'll lucky if a parent left you any sort of inheritance.
You and We are not meant to pay all our debts off and achieve all our financial dreams while maintaining a nest egg before we were 40..  If it happened, the economy would crash..

A few millionaires here and there under 40.. that's baked into the cake, as the saying goes..

But if we were all wealthy... poof..

And when individuals fail and need some sort of bailout to protect them from catastrophe, there's no help to be found..

Choices are to go bankrupt and pay back something or pay back nothing and have it hover over your head for a longer duration

Everyone else gets bailed out..
Banks.. Corporations..  Cities..  Counties..  States..

Even impoverished Puerto Rico which has quietly gone under the radar..

From Wall Street Journal:  "The (US) House approved legislation Thursday to stem Puerto Rico’s escalating debt crisis, capping an unusually bipartisan course on a fraught and technically complex compromise measure.

The bill, which must still pass the Senate, establishes a process to handle what is shaping up as the largest municipal-debt workout in U.S. history. Puerto Rico’s government has begun defaulting on $70 billion in debts, and has warned it could run out of cash this summer."
The American taxpayer is going to be tossing away up to $70 billion to help a crime-ridden territory in the Caribbean where most people do not like the US and do not want anything to do with us otherwise

Nearly 8 years since Lehman Brothers and this God Damn government is still bailing other entities out...

And doing so bipartisan

Just don't expect anyone to bail you out..
Only once in recent memory has government stood up and that was to a worthless deadbeat called New York City, the scummiest city in the US and President Ford denied them a bailout in 1975

So to show displeasure back then, a newspaper posted the famous tagline "Ford to NYC:  Drop Dead"

Personally, that headline would have made me smile and reaffirm I made the right decision.

Then again I am not a worm politician bogged down by re-election bids and the meaninglessness of 'legacy'..   Ford backed down, NYC got its money and now continues to pretend it's #1
Be so nice to see the government say 'No' to a money-burning entity and actually mean it

Be even nicer if there was a real difference economically between a Democrat in office and a Republican