Operation Bootstrap Research Paper

Decent Essays
The origins of the current Puerto Rican debt began long ago when the United States and Puerto Rican governments created an ambitious plan called “Operation Bootstrap.” The “bootstrap” was a reference to the idiom of “pulling oneself up by one's bootstraps,” to help oneself without the aid of others; use one's resources (“bootstrap”). The plan was to shift Puerto Rico’s economy from an Agriculture based one, to a more modern manufactory based economy. The plan created in 1970 has, “boosted the creation of industry over agriculture to improve the local economy and offered tax incentives to American corporations” (Figuerdo and Argot-Freyre 187). The Puerto Rican government gave American companies 10 years of tax breaks including low-interest government…show more content…
Due to the 1917 Jones act, bonds distributed by Puerto Rico are different from ones given by regular states; Puerto Rico’s bonds are “triple tax exempt”, meaning; income on the bonds are not subject to federal, state or, local
Get Access