econintersect.com
       
  

FREE NEWSLETTER: Econintersect sends a nightly newsletter highlighting news events of the day, and providing a summary of new articles posted on the website. Econintersect will not sell or pass your email address to others per our privacy policy. You can cancel this subscription at any time by selecting the unsubscribing link in the footer of each email.



posted on 12 September 2015

From The Vault: Understanding Puerto Ricos Economic Challenges

from Liberty Street Economics

-- this post authored by Anna Snider

Recent news examining the toll that a decade of stagnation, out-migration, and heavy debt has taken on Puerto Rico draws on work summarized in two Liberty Street Economics posts. For example, the New York Times cited our analysis of the U.S. Commonwealth's ongoing population decline. In an April post, economists Jaison Abel and Richard Deitz put numbers on the exodus, reporting that over the last ten years,

Puerto Rico's population has dwindled to 3.6 million, a decline of more than 5 percent, which they attribute in part to falling birthrates but mostly to migration to the U.S. mainland.

Exploring who's leaving the Island, the authors find the migrating class is disproportionately made up of young people without college degrees. The departure of this group may increase the proportion of Puerto Rico's residents who are college-educated, but it also underscores the need to improve job prospects for young and lesser-skilled workers.

Abel and Deitz go on to describe how population decline perpetuates Puerto Rico's economic malaise by leaving fewer taxpayers to support a rising debt burden. "[T]hese pressures can create a cycle of economic decay and further population losses that can be difficult to break," the authors write.

Elsewhere, the New York Fed's Update on the Competitiveness of Puerto Rico's Economy, distilled on our blog, informed Times blogger Paul Krugman's take on the Island's wider economic weaknesses. The economist-led "Krueger Report," recommending "a way forward" for Puerto Rico, also referred readers to our study, describing its analysis and references as "excellent."

Puerto Rico is part of the Second Federal Reserve District.

Vault Reading:

Population Lost: Puerto Rico's Troubling Out-Migration

By Jaison R. Abel and Richard Deitz

Just Released: Updated Study of the Competitiveness of Puerto Rico's Economy Proposes Steps to Address the Island's Fiscal Stress

By James Orr

Disclaimer

The views expressed in this post are those of the author and do not necessarily reflect the position of the Federal Reserve Bank of New York or the Federal Reserve System. Any errors or omissions are the responsibility of the author.

Source

http://libertystreeteconomics.newyorkfed.org/2015/09/from-the-vault-understanding-puerto-ricos-economic-challenges.html#.Vel8c_nBzGc


About the Author

Anna Snider is a cross-media editor in the Federal Reserve Bank of New York's Research and Statistics Group.

>>>>> Scroll down to view and make comments <<<<<<

Click here for Historical News Post Listing










Make a Comment

Econintersect wants your comments, data and opinion on the articles posted.  As the internet is a "war zone" of trolls, hackers and spammers - Econintersect must balance its defences against ease of commenting.  We have joined with Livefyre to manage our comment streams.

To comment, using Livefyre just click the "Sign In" button at the top-left corner of the comment box below. You can create a commenting account using your favorite social network such as Twitter, Facebook, Google+, LinkedIn or Open ID - or open a Livefyre account using your email address.



You can also comment using Facebook directly using he comment block below.





Econintersect Contributors


search_box

Print this page or create a PDF file of this page
Print Friendly and PDF


The growing use of ad blocking software is creating a shortfall in covering our fixed expenses. Please consider a donation to Econintersect to allow continuing output of quality and balanced financial and economic news and analysis.


Take a look at what is going on inside of Econintersect.com
Main Home
Analysis Blog
Is Free Trade Harming the Economy?
Bank of England Endorses Post-Keynesian Endogenous Money Theory
News Blog
Early Headlines: Asia Stocks Mixed, Oil Mixed, Dollar Up, Gold Down, Microsoft Growth, US Cities' Homicides Up, Battery Age, Higher-Priced Carbon, Sweden Crime Data, Russia Passes Saudi Arabia And More
February 20, 2017 Weather and Climate Report - Transition to Spring can be Cruel
More Buck For The Chuck
More About What's Going On In Retail
Your Dog Has A Better Memory Than A Chimpanzee
Where Shadow Economies Are Well Established
What We Read Today 20 February 2017
Successful SpaceX Launch &amp; Landing Of Falcon 9 + Dragon CRS-10 Mission To The ISS (2017-02-19)
Investor Bulletin: Savings And Investing Basics For Military Personnel
Does Growing Mismeasurement Explain Disappointing Growth?
Why Does Economic Growth Keep Slowing Down?
Houses As ATMs No Longer - Part Three Of Five
Infographic Of The Day: What It's Like To Live On Minimum Wage
Investing Blog
Market And Sector Analysis 19 February 2017
Dollar Looks To Head Higher
Opinion Blog
Fascism Defined And Described By Oswald Mosley
Charity Is Not How We Solve Poverty
Precious Metals Blog
Deflation And Gold: A Contrarian View
Live Markets
20Feb2017 Pre-Market Commentary: US Markets Closed Today In Observance Of The Presidents Day Holiday, US Dollar Slips, European Stocks Rise
Amazon Books & More






.... and keep up with economic news using our dynamic economic newspapers with the largest international coverage on the internet
Asia / Pacific
Europe
Middle East / Africa
Americas
USA Government





























 navigate econintersect.com

Blogs

Analysis Blog
News Blog
Investing Blog
Opinion Blog
Precious Metals Blog
Markets Blog
Video of the Day
Weather

Newspapers

Asia / Pacific
Europe
Middle East / Africa
Americas
USA Government
     

RSS Feeds / Social Media

Combined Econintersect Feed
Google+
Facebook
Twitter
Digg

Free Newsletter

Marketplace - Books & More

Economic Forecast

Content Contribution

Contact

About

  Top Economics Site

Investing.com Contributor TalkMarkets Contributor Finance Blogs Free PageRank Checker Active Search Results Google+

This Web Page by Steven Hansen ---- Copyright 2010 - 2017 Econintersect LLC - all rights reserved