Thursday, July 18, 2013

Look Who's Smiling Now

It is a well known issue for both companies and municipalities that more fail in the recovery than in the recession. Today Det"riot" declared bankruptcy. $20b in liabilities and 700,000 residents of which easily half are not taxable by any stretch. Whitney wasn't even early. What happened was her warning caused a lot of shuffling of deck chairs to forestall the inevitable. Second the "recovery" took much much longer than she could have predicted. So. Is this it? Probably not. The baby bust is now only two years away from crushing school districts across the nation. Watch them follow this closely. Both Detroit and school districts have much the same problems. Liberal control and outsized employee benefits.

1 comment:

Rob Dawg said...

P.S. I have no doubt the Obama administration will step in with assistance.