Skip to comments.WAKE UP: There's A 82% Chance That California's Public Pension System Will Run Out Of Money
Posted on 12/18/2011 9:55:51 AM PST by SeekAndFind
California's pension system is living in a fantasy world where investment returns average 12.5% annually and there's enough money for everyone.
Unfortunately that's not going to happen. A big study from Stanford Professor Joe Nation along with California Common Sense analyzed the need for major cuts to CalPERS, CalSTRS and UCRP.
The largest union, CalPERS, has a 82% chance of a budget shortfall in the next 16 years.
More highlights via Eric Savitz at Forbes:
Every day California delays major reform — screw the legal obstacles — costs $3.4 million.
(Excerpt) Read more at businessinsider.com ...
Why don’t they put all switch all their money to Green technology investments like President Obama has? Their ROI will be off the charts in a few years.
RE: Their ROI will be off the charts in a few years.
Yes, off the charts NEGATIVE.
If it can happen to Solyndra and all other Green technologies in Europe (See Germany for instance: http://online.wsj.com/article/SB10001424052970204026804577100150091819074.html ), hey why not more??
If the leaders of the California public employee unions (the people who run California) had any brains they would kill the bullet train in order to save the money for their pensions.
There is no thought of running out of money. The unions that run Kalifornia like a children’s piggy bank have spent too much money supporting Obama and progressive politicians. They will demand others pay when they run out of money. If the election results in 2012 reflect the same sentiment as the socialists in Kalifornia, they will NEVER run out of money.
If the leaders of the California public employee unions (the people who run California) had any brains..............
82% chance they don’t.
Then California socialists will also run out of money and time for politics. That’s not bad.
Not a problem, the pension funds can just load up on high yielding CA bonds that will help cover our deficit spending on things like the high speed rail to nowhere. I’m sure they’ll be paid back and no worries about a default .... Ha!
RE: Why so Negavtive? there is a 18% chance it wont...
Speaking of chances, this reminds me of this scene from the movie, DUMB AND DUMBER...
Best return in the world right now. Of course, there is a little risk involved. However, as it stands, you're screwed. If you buy Greek bonds and they pay off, then you're in the clear. If not, well, you were screwed anyway.
Oh this one is easy to fix! Let’s just tax each household $12,000 extra and make up the difference. We don’t want our public servants to have to suffer one year in retirement earning less than $150,000. They do so much for us.