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Jun 11

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What Happens to California State Bonds if the State Goes Bankrupt?

By Business Desk

Question: I live in California and own California State Bonds. What happens to state bonds if the state goes bankrupt? Paul Solman: They stop paying, both interest and principal. That’s what a default IS. Last September 15, Lehman Brothers…

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Dec 08

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Could You Help Me Understand Credit Default Swap in Terms of Purchasing a Car?

Question/Comment: The lease is up on my Lexus and I inquired about buying it. Lexus financial said that I’d have to pay the residual value from the lease. That amount is $10,000 over market value. It was later explained to…

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Dec 24

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Argentina’s Interim President Takes Office, Declares Debt Default

After two days of riots that toppled President Fernando De la Rua, Argentina's Congress installed Adolfo Rodriguez Saa, a Peronist governor from a rural province, to serve as interim president until new elections are held in March.

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