Illinois Will Be The Poster Case For State Bankruptcy

Discussion of the Bond portion of the Permanent Portfolio

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Ad Orientem
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Illinois Will Be The Poster Case For State Bankruptcy

Post by Ad Orientem » Tue Jun 09, 2020 11:45 am

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europeanwizard
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Re: Illinois Will Be The Poster Case For State Bankruptcy

Post by europeanwizard » Tue Jun 09, 2020 3:53 pm

What's weird is that munis aren't unlike European state bonds. Just like an individual European country, an American state can't print themselves more money to get out of a high debt situation.
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I Shrugged
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Re: Illinois Will Be The Poster Case For State Bankruptcy

Post by I Shrugged » Tue Jun 09, 2020 5:49 pm

Illinois keeps kicking the can down the road. I always figured they would get a federal bailout when it gets bad enough. But it's possible that the feds will resist because of moral hazard. HAHAHAHAHAHAHAHA!!!!!!
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Ad Orientem
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Re: Illinois Will Be The Poster Case For State Bankruptcy

Post by Ad Orientem » Tue Jun 09, 2020 6:51 pm

One of the many downsides to a Biden presidency is that they will very likely support a bailout. We need to hold the Senate.
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Xan
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Re: Illinois Will Be The Poster Case For State Bankruptcy

Post by Xan » Tue Jun 09, 2020 7:18 pm

Ad Orientem wrote:
Tue Jun 09, 2020 6:51 pm
One of the many downsides to a Biden presidency is that they will very likely support a bailout. We need to hold the Senate.
I can't see how bailing out states would be anything but an unmitigated disaster.
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