Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Ironically for the OP, California is not one of the states facing a revenue shortfall for fiscal year 2017. Conservative paradise Texas is running a budget deficit this year, as are most states in middle America that are already propped up by federal money.
California has the 6th largest economy IN THE WORLD! I'm sure they will figure it out. Maybe they will secede from the union so they won't be dragged down by the Pubs.
Illinois was hurting but went further downhill after a guy who made millions scamming health care was elected governor. He's been doing the same strip mining of the state economy we have been seeing at the federal level for the past 7 years. Not a lot of hope there.
Rauner has only been Governor since 2015. He's not the problem.
As I understand it, there is no legal provision for states to declare bankruptcy. So at some point, these states will have to do one or more of these things;
Cut expenses
Increase taxes
Stop paying creditors
Reduce employee pensions
Or, they can get Congress to pass a law allowing states to declare bankruptcy just like municipalities have done under Chapter 9.
In any event, millions of people will get screwed due to years of inept leadership in these states just like in Puerto Rico.
Or they can do what red states do more than anyone else and beg for fed aid.
Ironically for the OP, California is not one of the states facing a revenue shortfall for fiscal year 2017. Conservative paradise Texas is running a budget deficit this year, as are most states in middle America that are already propped up by federal money.
Thank you. Liberal Jerry Brown with a majority Democratic legislature turned the debt situation completely around in California. It just doesn't fit the narrative of right-wingers so they continue to lie about the situation, hoping the state fails as badly as Kansas to score political talking points.
As I understand it, there is no legal provision for states to declare bankruptcy. So at some point, these states will have to do one or more of these things;
Cut expenses
Increase taxes
Stop paying creditors
Reduce employee pensions
Or, they can get Congress to pass a law allowing states to declare bankruptcy just like municipalities have done under Chapter 9.
In any event, millions of people will get screwed due to years of inept leadership in these states just like in Puerto Rico.
States go belly up from things like high debt, no job growth, and high unemployment. And the liberal states of California and Illinois outperform conservative states like Texas, South Carolina, and Oklahoma in those areas.
California state and local debt to GDP- 14.41%
Illinois state and local debt to GDP- 17.37%
Texas state and local debt to GDP- 22.46%
South Carolina state and local debt- 20.12%
And California and Illinois have the ability to cut spending and still have their citizens living better lives than citizens in most conservative states.
Standard of living figures show a states level of education, jobs, income, safety, health, environment, civic engagement, and accessibility of services and housing.
In bad economic times California and Illinois could make spending cuts to education, jobs, income, safety, health, environment, civic engagement, and accessibility of services and housing. And after those cuts those liberal states citizens would still have a higher standard of living compared to citizens in most conservative states.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
