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With 2-3 weeks to receive $30M of state aid from Michigan in order not to run out of cash,...

With 2-3 weeks to receive $30M of state aid from Michigan in order not to run out of cash, Detroit is again teetering on the brink of bankruptcy. The aid is contingent of the city implementing the provisions of an agreement in April, when Michigan agreed to provide $137M, but those measures haven't been enacted. Financial mismanagement, political corruption, a hard-hit housing market and a massive loss of population are the causes of Detroit's woe.
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Comments (9)
  • davidbdc
    , contributor
    Comments (3158) | Send Message
     
    Why should we care and why should we do anything about it?

     

    Fiscal mismanagement and corruption are largely the same thing. Let creditors seize all public assets and do what they want with them. Let the rest of the people leave.

     

    Same thing when Illinois goes broke. Let them. Let the public employees see their pensions be worth 10% after creditors are paid. Those that allow corruption and public theft should be left to experience the end results.

     

    This country needs to see some real suffering as a result of terrible fiscal policy - maybe that will spur demands for balanced budgets in DC. For some reason the situations in Greece, Spain, etc haven't influenced behavoir here. Maybe we need to see a decrepit city with no services and a miserable standard of living to wake people up.
    30 Nov 2012, 03:12 AM Reply Like
  • Andrew Noland
    , contributor
    Comments (105) | Send Message
     
    I disagree with you. It is apparent that you do not live in Detroit. We need balanced budgets but devastating economic shock is not the way to go about it.
    30 Nov 2012, 03:17 AM Reply Like
  • Brian Bobbitt
    , contributor
    Comments (1905) | Send Message
     
    sounds like you live in Detroit, also sounds like you need to put some people in Jail out there.
    Man, Detroiters gotta be proud of themselves.

     

    don't even want my name on this one, nasty

     

    What Law School did you go to Andrew?
    30 Nov 2012, 04:57 AM Reply Like
  • davidingeorgia
    , contributor
    Comments (2713) | Send Message
     
    If you need/want balanced budgets (and less corruption) in Detroit, then stop electing klepto Democrats like you have for what? 40 or 50 years now? One party rule never turns out well, no matter which party it is.

     

    Btw, Mr. Blurb Writer, the "massive loss of population" is a result of all the other (and let's not forget rampant crime for that list) stuff, not a cause of it. Who the hell would want to live in Detroit if you have any means at all to move away? Well, I suppose if you're one of the ruling kleptocracy, it's been a pretty sweet place to live while leeching off of others, but it looks like the gravy train is about to run out.
    30 Nov 2012, 06:06 AM Reply Like
  • phertz1
    , contributor
    Comments (39) | Send Message
     
    Detroit is a basket case! The declining population is the number one problem. To reverse it requires a herculean task. Throwing money at these situations without a top to bottom restructuring and renegotiation of contracts is just that, throwing money!
    Everyone says California is broke, but guess what, they are not! Look for the fight between public employee unions and the municipal bankruptcy judges to go all the way to the Supreme Court. This is a long term restructuring problem caused by money. "Money is the mothers milk of politics" -Jesse Unrah, former speaker of State Assembly and widely considered the most powerful person in California politics.
    30 Nov 2012, 04:57 AM Reply Like
  • winningtrader
    , contributor
    Comments (2476) | Send Message
     
    Is this Detroit or Greece that they are writing about ... they sound the same.
    30 Nov 2012, 05:54 AM Reply Like
  • youngman442002
    , contributor
    Comments (5131) | Send Message
     
    Let them go broke...
    30 Nov 2012, 07:55 AM Reply Like
  • Tony Petroski
    , contributor
    Comments (6373) | Send Message
     
    "Financial mismanagement, political corruption, a hard-hit housing market and a massive loss of population are the causes of Detroit's woe."

     

    It's important to distinguish between cause and effect.

     

    A massive loss of population results from fiscal mismanagement, one-party rule and a surfeit of government. It's not as if Detroit was hit like Nagasaki (even if it may look like that), so if productive people move elsewhere, who's to blame?

     

    The entire country is following Detroit, particularly one-party rule.

     

    Where do productive people go now?
    30 Nov 2012, 07:59 AM Reply Like
  • youngman442002
    , contributor
    Comments (5131) | Send Message
     
    Notice they do not mention UNIONS......lol

     

    people are moving to Red states.....
    30 Nov 2012, 08:32 AM Reply Like
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