Detroit can't declare bankruptcy. At least a liberal leaning state judge (who works in Detroit) has ruled that Detroit can't file bankruptcy as it might unconstitutionally (state constitution) reduce retirees' pension benefits which must be held sacrosanct above all other debtor classes, whether they be secured creditors or working policemen who would hate to see their paychecks cut. And retirees in Detroit outnumber taxpaying workers by more than 2 to 1. The Judge is sending copies of her ruling to Obama with the "hopium" that Obama will take federal action to pay the Detroit retirees all their golden, over promised retiree benefits at U.S. taxpayer expense.
If secured creditors are screwed over to protect these "unfortunate" Detroit retirees, just watch the huge "black swan" swoop down on the entire municipal bond market in the U.S. All secrued creditors/bondholders in distressed cities will be rushing to the exits long before the tardy credit downgrades begin. And as far as the Federal government agreeing to use "other people's money" to pay Detroit retirees anything more the Federal Pension Guarantee Benefit Office currently allows, then perhaps the time will be ripe for revolution.
I'm just saying....
Meanwhile in Minneapolis bonds are being used to build the Viking billionair owners and millionaire players a one billion dollaroo stadium to rival the one in Dallas.. Wonder if anyone will be foolish enough to buy any. Silver opened up just now up 29 cents.
Friends living in California say it’s near declaring bankruptcy and LA as well. A number of smaller municipalities have declared bankruptcy, Stockton among them. While LA hasn’t done so as yet, it will soon. We recently discovered during a visit there that freeways built and paid for are no longer “free”-ways. They have become toll roads for the working stiff to travel to work on. They also say that the state is actively selling bonds over the airwaves to fill the economic holes. As PT Barnum said, “There’s a sucker born every minute.”
Among the many articles written about the bankrupt public entities in California we found the following:
“Someone Forgot to Tell California's Bankrupt Cities About the Golden State's Alleged Economic Revival”
It’s possible they are wrong because the population there’s pretty stupid (changing demographics). They’ll cover their deficits with more/higher taxes which their voters always approve. That’s what you get when the Feds refuse to enforce the borders and don’t use current sanctions in place since 1986 to fine/jail employers. Our friends say there is a changing attitude towards non-Hispanics of a discriminatory nature. What the rest of us should demand is to build a fence around the state. Let them sink in the sewer they’ve created for themselves. Leave the fence open on their southern border and strictly limit passage into and out of California to the other states and cede the whole rotten piece of real estate back to Mexico. Demand that there be no aid flow to them, as they are no longer part of the USA. Those wishing to go from the USA would have to apply for a passport. That would cure problems for the rest of the country. California isn’t an asset with their strong attachment to all forms of socialist policies which they believe other states will foot the bill for. Regard them the same as Cuba. Ask anybody there what the draw is for people to go there and the universal response is “the weather” (but what else?).
Agreed, problem is the diversity crowd has gotten to the White culture to buy into the socialist creed. Cringe at words like discrimation, yet when reservsed on them, actually think they deserve and feel guilty. Wow, the best of all world for conquerors, right ?? Witness states like Washington, Oregon, Minnesota, Wisconsin, Ohio, where remnants of historical American culture one would think could have staved off the socialist culture, to no avail, all abandoned to the Democrats.
And maybe, who can blame them, American over the last 40 years has gone from a hardworking, saving, make do culture, to rampant materialism and credit extension.
Both disgusting and sad.
And yes, Romney would have made a difference in attitude, just as Obozo's attitude takes us down the sewer. Buy gold/silver.