2:26 - Chicago's debt and unfunded liabilities are more than three times higher than Detroit's were when the city declared bankruptcy in 2013.You know what happens when a city declares bankruptcy, right? The bond-holders get to come in and carve up the remains as if they've been working a double-shift at Planned Parenthood.
34:05 - More borrowing to keep the lights on. More debt. Greater borrowing costs. Eventually, one of Chicago's municipalities will miss a bond payment and the whole house of cards is gonna tumble to the ground. The longer you push off reality the harder reality hits you.
34:29 - A huge ripple effect is going to run through the American economy when one of America's cities defaults on its debt. And its going to have a huge impact on the municipal bond market.
Friday, July 31, 2015
Chicago's "Infinity Death Spiral"
Stephen Molyneux is the latest to warn about Chicago's debt bomb: