Currently Illinois is tied with California for the lowest ratings of any state from Moody’s and Fitch rating services.
Hamtramck, MI is wanting to file for bankruptcy. Others are possible.
A very diverse group of people such as hedge fund guru George Soros, JPMorgan’s CEO, economist Nouriel Roubini, financial expert Meredith Whitney and Bill Gates warn that local government finances are embarrassingly defective, if not criminal or highly unethical, and that there are likely to be many local bankruptcies and many municipal bond defaults.
Very interesting video of former LA Mayor. LA financial situation is totally unsustainable.
Watch the video.
NY Gov. Cuomo and state lawmakers agreed on a budget deal that would cut spending to close a $10 billion shortfall without new taxes or borrowing.
The $132.5 billion budget, will close as many as six prisons, and potentially result in the layoffs of 9,800 state workers.
The taxpayers of NY hope this account is true and await all the details.
“Financial expert, Meridith Whitney, has ranked California as being in the worst financial condition.“
California has an $86.6 billion budget, and already has a $25.4 billion shortfall. Are you kidding me?
What geniuses ran this huge government monstrosity into the ground?
And guess what the state debt is. It’s $290,855,041,516 – or – $290+ billion for those of you who don’t like counting numbers and commas.
Check out this chart at the link below! It takes up to 27 bureaucratic steps and 2-5 years to fire a teacher in Chicago.
And they wonder why their government school students do so poorly and taxes are so high – government union corrupted politics!
A new ranking has the US 28th among countries of the world. We rank worse than Mexico!
Interesting video below of David Walker, former US Comptroller General, who says that Social Security is $38 Trillion under water, and that even when the economy recovers fully it will not resolve these problems, nor will trying to inflate our way out of this. The entitlement programs must be reformed! But politicians won’t fix them.