Part 6/9:
History is replete with similar cases where intricate legal arguments and military muscle shaped whether debts were honored or dismissed. In a prominent example from the U.S., when Texas declared independence from Mexico and sought statehood, the impending question of debt responsibility loomed large. Amidst political debates in Congress, market speculators bought Texan bonds for mere cents, hoping to profit when the U.S. ultimately annexed the territory and assumed responsibility for the debts.