San Bernardino, Calif., is the latest municipality to seek bankruptcy protection for its $45 million budget shortfall, following Mammoth Lakes and Stockton, which was the largest U.S city to ever go bust. Bankruptcy filings by these three California cities have raised questions about the scope of budget issues on the local level and whether there will be more.
“This is the tip of the iceberg for different reasons in different places,” says Richard Brodsky, senior fellow at Demos.org and former 14-term New York State assemblyman. Here is a direct link.
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This was sent to me and thought I would pass it on…. worth the 3 minutes….thanks to open and honest discussion on free, unencumbered, internet based platforms the illusionists will begin to lose their grip. Watch…..
http://youtu.be/16K6m3Ua2nw
Starting in 1973 the US started using the vehicles Fannie Mae and Freddie Mac to sell US mortgage paper to foreigners. That propped up the US real estate market until 2008. Because foreigners started to sell that Agency paper, effectively withdrawing support for the US housing market and now the people in the US are surprised the US housing market is tanking and cities get into trouble and go bankrupt ?