That productive capacity is owned by the shareholders, and any bondholders are in front of shareholders as to payout in case of liquidation. Pensioners are last in line.
On top of all these people with claims on the productive capacity of the USA, are all those with entitlements, the unemployed, the disabled, the military, the government workers. Puerto Rico just defaulted on its bonds so it could pay government workers.
"This administration continues to take historic steps to ensure the residents of Puerto Rico continue to receive essential services while the commonwealth continues to face a delicate financial situation," a spokesman said Thursday.Gee. Wonder how they got in dire circumstances? At any rate, screw the retired teachers cops government workers and anyone else on a pension whose "assets" are in those bonds, pay the people who show up today.
The island isn't planning to make any of the $800 million payment to its bondholders due on July 1. Puerto Rico's government says it is in a "dire" financial position with only about $350 million in cash on hand right now.
But back to that asset base. A big part of USA production powerhouse is the auto industry. For the last eight years sales have been driven by the fog-a-mirror credit plan, with people driving news cars off the lot they cannot afford to maintain let alone make payments. It seems that has peaked.
Next we have our computer industry, which produces nothing but life-drain, but wait, never mind, that is all made overseas.
Let's move on to our jewel in the crown, Boeing. USA Taxpayers must lend the credit to Boeing customers. As Boeing itself said, no ExImBank, no Boeing. Promise?
Hmmm… USA agriculture is a powerhouse. But the vast majority is GMO, of controversial nutritional questions.
The installed base of infrastructure, real estate, plants and equipment, is rarely marked to market, that is on the books for what it is really worth.
Our asset base is the trough from which the vast majority do root. Dare you even think about getting near it?
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