News

The Silent Puerto Rican Debt Default - Nathan McDonald

June 30, 2016

Where's all the news - where are all the headlines? A major event has taken place yesterday and another event is about to unfold tomorrow. Puerto Rico is going to default on its debt and the US government is A-OK with it.

 

Once again, the American taxpayers have been on the short end of the stick. This story is receiving little to no press and it is truly baffling given the ramifications and meaning behind it. Perhaps this is exactly why it is receiving so little attention.

 

The story of the Puerto Rican default is just another example of the crumpling system of the elites. The establishment is desperately trying to keep this broken fiat system together for as long as they possibly can, sucking maximum profits from it before it implodes.

 

The U.S. Senate has done its part in this farce, as they passed the bailout bill with overwhelming support yesterday, ensuring that Puerto Rico, like Greece, can put off its consequences of overspending for the time being and continue to stagnate. It's another stellar example of extend and pretend by the elites.

 

Tomorrow, the government of Puerto Rico was supposed to be paying back $2 billion in debt repayments - no small sum of money, but a drop in the bucket when you look at the massive $70 billion that they owe in debt payments.

 

Fortunately and unfortunately for them, they are being given a "free" pass by the U.S. government this time. I say unfortunately, because the trade-off for them is their freedom and liberty. As part of the bailout deal, the elites will install overseers that will monitor the Puerto Rican government. Essentially, they are giving up their free will.

 

Despite this being a major story, don't expect to hear much about it. The elites don't want to embolden other states or countries to default on their debt as well. The illusion of debt and fiat money must be maintained at all cost, or they risk completely losing the crumbling empire they have built around them.

 

Fortunately for us in the precious metals community, we are not asleep and we are taking our destiny into our own hands, protecting ourselves with the one true, honest form of money: gold and silver.

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About the Author

Nathan McDonald is a libertarian, entrepreneur and precious metals enthusiast. He has always taken a keen interest in free markets and economics since an early age, which naturally led him to become a true believer in precious metals and all that they stand for.

Nathan served eight years in the Royal Canadian Navy as an electronics technician, seeing the true state of the world, before starting his first successful business. He has since gone on to create a number of businesses, all of which are still in operation and growing.

In addition to this, Nathan runs a network of successful precious metals blogs, and a growing newsletter that has attracted readers from all around the world. He is a regular and highlighted writer for the highly respected Sprott Money Blog, which covers world events, geopolitics and of course precious metals.

*The author is not affiliated with, endorsed or sponsored by Sprott Money Ltd. The views and opinions expressed in this material are those of the author or guest speaker, are subject to change and may not necessarily reflect the opinions of Sprott Money Ltd. Sprott Money does not guarantee the accuracy, completeness, timeliness and reliability of the information or any results from its use.

Comments

Dan Burke
June 30, 2016 at 5:02 PM
I did hear a little about the default on public radio this morning, and, of course it was played off as if the restructuring is a boon to the citizens of Puerto Rico rather than a bank bailout.
jesus mangual
June 30, 2016 at 10:31 PM
It is time that the Us does the right thing if we can call it that. After a 118 year colonial relationship it is the least it can do. In the past 20 years alone over $600,000,000 in profit have been taking out of Puerto Rico by US corporations. 10% of that money would have been enough to level the game. But no the more the greedy corporations steal the more they want. Let the US pay. 118 years of colonialism is more than enough abuse on a people that did not asked to be invaded by white elites. Racism is at the bottom of it all. We have paid a big price for the colonial blunder of my nation and you Mr. McDonald are another example as to the ignorance that prevails in the so called white race. Educate yourself and perhaps you may free your soul from the complexity of superiority. Remember slavery was abolished in the late 1800's. People of color have the right to be in control of their own destiny. If the so called white race would eliminate the word greed from their vocabulary i can guarantee you that all wars would end, especially the war on terror. Greed is the culprit of all the instability that humans are suffering in different nations. Powerful nations are destroying weaker nations so they can blunder all the resources they have. Shame on you so called humanitarians. We have paid a big price under colonial rule and it is time it stops.