Friday, January 21, 2011

Let the States Declare Bankruptcy?

      An article in the NY Times discusses just that.

Alabama can't run a deficit...that's a state constitutional provision that results in constant "proration"...i.e. cuts...in the two major state budgets all the time. Though the state employee pension fund is another story.

      One thing this article will do? Watch the municipal bond market today.

No comments:

Post a Comment