San Juan, Puerto Rico

Going bankrupt: Puerto Rico got slammed this week when all three major credit agencies downgraded its debt to a junk rating. The U.S. territory has been in recession for nearly eight years, and unemployment is more than 15 percent. Its per capita income of $15,200 is half that of the poorest U.S. state, and 37 percent of households use food stamps. In the past two years, some 50,000 Puerto Ricans—mostly those with means and education—have moved to the U.S. “Sometimes you have to hit rock bottom to restore yourself,” said Mike Soto of the Puerto Rican think tank Center for a New Economy. “I’m hoping that’s what’s happening.”

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