Profile image
Contributor profile | More stories
Story Views
Last Hour:
Last 24 Hours:

JPMorgan Expert: Illinois Bankruptcy Option Needed – True Debt, Pension, Health Costs Would Consume Half Of Revenue

% of readers think this story is Fact. Add your two cents.

The government employee pension systems in many states are not sustainable. Connecticut, New Jersey, and Illinois come to mind.

It is Illinois that may be buffeted first by the winds of economic reality. Cronies in state and local government, in partnership with public employee unions, have promised the moon to government retirees. Taxpayers however are already feeling the tax pinch and are not inclined (nor may they have the ability) to deliver the moon for theses “public servants.”

Michael Cembelast at JPMorgan says that Illinois might as well put its face into the gale sooner rather than later.

(From Zerohedge)

This can be accomplished by utilizing Chapter 9 and other tools Congress just gave Puerto Rico. The process would entail about two years of unpleasant headlines, but the city and the state will rebound far sooner and less painfully than if t hey stay on their current paths.

Why do we think that somehow, some way, whatever the path of Chicago and Illinois in coming years, it will be the taxpayer who gets hurt the most?

Click here for the article.

Report abuse


Your Comments
Question Razz Sad Evil Exclaim Smile Redface Biggrin Surprised Eek Confused Cool LOL Mad Twisted Rolleyes Wink Idea Arrow Neutral Cry Mr. Green




Email this story
Email this story

If you really want to ban this commenter, please write down the reason:

If you really want to disable all recommended stories, click on OK button. After that, you will be redirect to your options page.