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All state bonds are well positioned for generous bailout terms from Washington.
by everybodyknows 6y ago
All state bonds are well positioned for generous bailout terms from Washington.
- emodendroket 6y agoForcing a fiscal crisis is a great way of accomplishing some political goals so I wouldn't be complacent about this risk.
- everybodyknows 6y agoFair enough — I’d wager large city bankruptcies remain quite possible under the next GOP Administration. The most liberal Republican POTUS of my own lifetime said “No” to NYC: https://www.nydailynews.com/new-york/president-ford-announces-won-bailout-nyc-1975-article-1.2405985 https://www.nydailynews.com/new-york/president-ford-announce...
- emodendroket 6y agoMcConnell is on the record saying he doesn't think the government should be bailing out blue states for what he has deemed profligate spending, so no need to look back to 1975. https://www.mcconnell.senate.gov/public/index.cfm/pressreleases?ID=221B54C6-B84F-413B-8765-D0026E879BA7 https://www.mcconnell.senate.gov/public/index.cfm/pressrelea... > “I said yesterday we’re going to push the pause button here, because I think this whole business of additional assistance for state and local governments needs to be thoroughly evaluated. You raised yourself the important issue of what states have done, many of them have done to themselves with their pension programs. There’s not going to be any desire on the Republican side to bail out state pensions by borrowing money from future generations.”
- OldHand2018 6y agoAre you talking about the recent $1.9T stimulus package? Because there are strings attached to it. Republicans are angry because they aren't allowed to use the money to finance tax cuts. Democrats are angry because they aren't allowed to use the money to pay pension contributions.