Democratic Strongholds Going Insolvent

[william the wie]

While IL has been in default on vendor credit for more than a decade it is still officially investment grade but its bonds are priced to produce junk yields when adjusted for tax exemption. Practically the whole blue wall and blue cities in red states are priced at similar yields without yet being Insolvent. So what happens, if anything, when they do go into default and have to raise taxes? Other than loss of tax base I expect no change. What say you?

 

[jwoodie]

Tremendous federal bailouts if Hillary is elected.

 

[william the wie]

Tremendous federal bailouts if Hillary is elected.

certain to be requested but Chaprter 3 bankruptcy, if requested is the solution that was proposed.

 

[MACAULAY]

If Democrat-Run Socialists Hellholes like Detroit, Chicago, Baltimore are allowed bailouts---it is the end of America as we knew it....and we knew it as the greatest society ever created in history.

Because one bailout begats another bailout...and...when the precedent is set...the Socialist Vote-Whores (Democrats) can spend at will in their rotting cities, buying votes, always buying votes...and send the bill to the US...the productive citizens.

The Socialist system always ends the same way. The Porch Sitters start to outnumber the Productive Citizens, and then very soon...they overwhelm them. It is history and will be repeated as long as the populace is too ignorant and indolent to learn from history.

We are about there. We'll see if the Pussy Republicans in Congress have the guts to tell Puerto Rico to go to Hell.

 

[jon_berzerk]

they have always been going insolvent

it is just becoming apparent now

 

[Dont Taz Me Bro]

Democratic Strongholds Going Insolvent

What other result would you expect? The problem with Socialism is you eventually run out of other people's money.

 

[william the wie]

Right now the cities are going in and out of chapter 3 bankruptcy. The states are the big worry.

 

[william the wie]

Democratic Strongholds Going Insolvent

What other result would you expect? The problem with Socialism is you eventually run out of other people's money.

Differences in state income tax rates and more recently Obamacare payments is putting the process into over drive.

 

[jon_berzerk]

Democratic Strongholds Going Insolvent

What other result would you expect? The problem with Socialism is you eventually run out of other people's money.

Differences in state income tax rates and more recently Obamacare payments is putting the process into over drive.

speeding up the destructive process

 

[william the wie]

Democratic Strongholds Going Insolvent

What other result would you expect? The problem with Socialism is you eventually run out of other people's money.

Differences in state income tax rates and more recently Obamacare payments is putting the process into over drive.

speeding up the destructive process

Exactly. Net spendable adjusted for cost of living is insanely low for the lower third in places like NY and CA where making $100k can literally mean poverty in places like NYC, SF and San Jose where houses and condos average $1M.

 

[Blackrook]

This is being done to us on purpose:

Cloward–Piven strategy - Wikipedia, the free encyclopedia