Gary Anderson Blog | Linette Lopez Of Business Insider Misspoke About Puerto Rico's Tax Break Policy | Talkmarkets
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Linette Lopez Of Business Insider Misspoke About Puerto Rico's Tax Break Policy

Date: Friday, September 18, 2015 8:54 AM EST

Linette Lopez of Business Insider misspoke about Puerto Rico's Tax Break policy. She basically stated that Puerto Rico let the policy of tax breaks for American corporations end. Yet it is clear that the United States government repealed the tax break. 

This oversight is very disturbing. There were many comments by readers making Linette aware of the fact that the tax break was repealed by the United States government, yet she made no attempt to correct her article even into the next day, 3 AM, 8/8/15 EDT! This is a conspiracy, in my opinion, to set people off against the territory of Puerto Rico, to form and shape public opinion against that territory in a dirty and underhanded way. 

The article was carried by Yahoo and at least the headline could have been seen by potentially thousands upon thousands of people. 

I used to contribute to Business Insider, and while my 60 or so articles hitting the bankers rarely made it to the front page, I felt that the website was trying to somewhat balance pro and anti banking sentiment. This oversight about Puerto Rico may prove that the website is simply willing to float a help for bankers, as the primary function for its existence, in my opinion. I hope that won't be the case going forward.

It is a way of influencing public opinion against the territory and for the bankers who will want their pound of flesh and austerity. This is Greece all over again, and somehow, the story blames Puerto Rico for failing. It isn't fair. It is very wrong.

But we know the game that was played with Puerto Rico, and the game was to make the territory bubble up and then the exit began. And now of course, the game is to blame the territory for the crash of the economy. That is the way of the bankers, and America should wake up to that fact. If anyone doubts that Linette was out to help the bankers, they need to consider that one of the first titles she posted regarding Puerto Rico on July 4, 2015 was: Puerto Rico Now Belongs to Wall Street.

People have to realize that the housing bubble was planned in the same way, to bubble up the middle class and then to crush it. It didn't happen by accident and the fall of Puerto Rico didn't happen by accident either. 

Basically, Linette stated that Puerto Rico let the tax break expire. Here is one comment from the article showing that this was totally wrong:

Jimmie Jones said this as the first comment on the article and many like minded comments followed:

"It's a massive debt load for such a small territory, and the problem can really be traced to one issue — bad tax policy.

After Puerto Rico let one tax break for manufacturers expire almost a decade ago, manufacturers started shutting down operations on the island. That caused a spike in unemployment."

I could not read any more after the opening. The entire article is based on the false premise that PR made the decision to roll back section 936 tax exemptions. That was a federal government decision, PR had no vote on the matter.

Read more:



Here is the link that proves that President Clinton destroyed the tax break that resulted in the destruction of the Puerto Rican economy.  For over 80 years, the Federal Government has allowed certain tax incentives to the territory, knowing full well that to pull those away would destroy the economy of the region. The 936 credit that was phased out over a 10 year period started the slide all the while the US government did not tax the bonds that PR sold. 

That means that the US government encouraged the sale of the tax free bonds all the while it was pulling the tax breaks from the corporations! This is diabolical behavior. The US government is solely responsible for the demise of the economy of Puerto Rico.

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