Bloomberg Brief Weekly Video 05/05

The video discusses Puerto Rico's debt default and its market implications, highlighting the tentative agreements with bondholders. It also covers a Manhattan Institute report on distressed cities, using Detroit's recovery model as a potential solution. Insights from the FMA conference focus on Chicago's economic strategies and challenges, including the Lucas Museum project. Lastly, it examines college debt trends, comparing lower debt levels in the West to higher levels in the Northeast.

What was the market's reaction to Puerto Rico's default?

• A rally due to a tentative agreement

• A complete recovery of bond prices

• No change in bond prices

• A significant drop in bond prices

What was the main focus of the Manhattan Institute's report?

• The economic growth of New York

• The financial strategies of Puerto Rico

• Detroit's Grand Bargain as a model for distressed cities

• The impact of the Zika virus on the economy

What financial strategy did Mayor Emanuel emphasize for Chicago?

• Reducing the budget deficit by half

• Increasing taxes to cover pension costs

• Focusing on tourism to boost revenue

• Diversifying the economy with no sector over 13%

What was a potential benefit of the Lucas Museum project for Chicago?

• Expansion of the local art scene

• Improved public transportation

• Reduction in property taxes

• Increased tourism dollars

Which region in the U.S. has the lowest college debt per student?

• The Midwest

• The Northeast

• The West

• The South

What trend did Bank of America highlight regarding S&P downgrades?

• Improved ratings in the South

• More downgrades in the Northeast

• Stable ratings across all regions

• Higher downgrades in the West

What is a potential consequence of high college debt in the Northeast?

• Increased migration to the West

• Higher investment in local businesses

• Decreased human capital retention

• Improved credit ratings for schools