“Manager plans to cut payments promised to survivors of police officers, firefighters”. Recent articles have also talked about the changes coming to retired military. You know your politicians have failed when they can’t/won’t pay for the people who fight and die for them.
A large part of Detroit’s problem, other than the politicians, is the simple fact that over the past 45 years or so, U.S. policy through taxation, regulation and corporate scheming has been to ship jobs outside the U.S..
No one seems to want to talk about it, but when “Obama” bailed out GM, he mostly benefitted Canada, Mexico, and to a lesser degree other countries. Out of GM’s roughly 202,000 employees, only 68,500 are in the U.S.. You’re not really “buying American” when you buy a GM product. In percentage terms around 34 %. When GM moves 66 % of it’s workforce out of Detroit, guess what? You are going to have a problem with your tax base. I don’t care who you are, Democrat, Republican or Martian. You can’t fund a city taxing Best Buy employees. You combine the loss of good jobs with an unending supply of illegal aliens and you’ve got an ugly future. If GM had been allowed to collapse, it would have hurt other countries more than the U.S., but there is no way they were going to let the banks take it on the chin.
Multiply that to every previous industrial area in the United States, and you can see why Detroit is being joined by Illinois, Pennsylvania, California and other states in bankruptcy court. That percentage used earlier is probably a pretty close representation of the deficit spending occurring in the Federal government also. None of this is sustainable. Personally, I think that’s why Harkin, Latham and other politicians are running for the high grass.