Puerto Rico's Oversight Board May Be on the Verge of a Misstep

It is common knowledge that Puerto Rico is a financial mess and that it arrived at its current predicament due to its government’s unwillingness to make difficult decisions. Ex-Governor Luis Fortuno made an attempt to return the island’s finances to sanity, but his efforts cost him his reelection bid. His successor, Alejandro Padilla, has undone much of what he tried to accomplish, more or less embracing a “business as usual” model of governance that morphed into a strategy of blaming the bondholders when the island’s fiscal situation became dire.