2019 ended with 7,672 Bankruptcies, 26 or -0.34% fewer than in 2018. Average year-over-year change was -0.67%. One of the signs of economic depression is an increase in bankruptcies, which we were experiencing until recent years, mostly after Hurricane Maria.
Bankruptcies increase during economic contraction because of lower levels of employment, lower wages and other factors that leave people insolvent and unable to pay their debts, which creates a snowball effect on businesses. Businesses filing for bankruptcy may be caused by the economic crisis, population decrease, less cash flow and external causes, not necessarily because of bad management.
However, the decrease in bankruptcies may not be sustainable or indicative of economic recovery because the arrival of federal recovery funds after Hurricane Maria slowed down the recession.
Use our interactive dashboard to see comercial and personal bankruptcies by municipality and chapter. To see comercial data, click on "Comercial" below the title.
The graphics displayed above are powered by Microsoft's Power BI. On our Economic Indicators Platform there are dashboards like this one for each industry, including forecasts and detailed municipal data. For more information visit economiapr.com/services