The simple fact is that many cities are already in as bad or worse shape than Detroit. The difference is that cities like Chicago and LA are racking up debt at an astounding rate with every intent of the feds bailing them out.
You’re correct, of course.
And the state bailouts will happen, most likely before the 2016 elections.
“The simple fact is that many cities are already in as bad or worse shape than Detroit. The difference is that cities like Chicago and LA are racking up debt at an astounding rate with every intent of the feds bailing them out.”
The problem with a federal bailout is that the numbers will be astronomical. Further, Detroit and LA are only on the front page because of their size. I submit that cities throughout the country large and small are in the same straits. Apart from the pension costs, there is the bonded indebtedness to take into account. I mean I read recently that Poway, CA school district borrowed $100 million and will have to repay $1 billion! This is not going to end well anywhere!