Buenos Bonds

By Econ70 | 07/28/2014

Should Argentina not pay its bondholders by Friday, it will default for the second time in 13 years. Argentina is paying investors who swapped their previously-defaulted bonds for new, less valuable bonds, but isn’t paying investors who refused the swap. A US judge is now prohibiting Argentina from paying anyone until the holdouts are satisfied. There’ll be no contagion, but Argentina’s economy may shrink due to reduced spending by bondholders.

Posted in 70 Words and tagged Argentina, Argentina debt default, Bonds, econ70, Economic forecasting, economist on radio, economist on TV, eisenberg and economics, Eisenberg and housing economics, Eisenberg and public speaking, Elliot eisenberg, funniest economist, funny housing economist, Graphsandlaughs, graphsandlaughs and eisenberg, housing sales, MLS, mortgage banking, Multiple listing service, politics and economics, Public speaking economist, www.econ70.com