City of Detroit files for bankruptcy

[Lyndhurst 14]

The largest US city ever to file for bankruptcy – estimates suggest the debt could be up to 20 billion dollars. Sad day for a once great city. Is this the start of something bigger.


Cityof Detroit files for bankruptcy

 

[seagullsovergrimsby]

Can they do it the Palace way and pay creditors 1¢ in the $ ?

 

[beorhthelm]

start of it becoming owned by a private company prehaps...

 

[seagullsovergrimsby]

start of it becoming owned by a private company perhaps...

and rename it Delta City

 

[martyn20]

Democracy was withdrawn from Detroit last year in order for a manager to be appointed to stop this very thing from happening, whoops

 

[disgruntled h blocker]

Bring on the ED-209's...sweet...

 

[LargeHadronZugzwang]

The result of a system built on debt, councils here are going the same way. People often say that economics runs the world and that is what propaganda will have us believe. Unfortunately, energy is the real engine that transforms our world. It is not ironic that the home of the manufacture of the car is one of the first to go.

 

[The Buttery Biscuit Base]

Its been coming for decades! A clean slate?

 

[Adders1]

The result of a system built on debt, councils here are going the same way. People often say that economics runs the world and that is what propaganda will have us believe. Unfortunately, energy is the real engine that transforms our world. It is not ironic that the home of the manufacture of the car is one of the first to go.

A non story. They have filed for bankruptcy protection which will eventually allow for renegotiation of current debt covenants

 

[Hugh'sDad]

......... Is this the start of something bigger.


Cityof Detroit files for bankruptcy[/QUOTE
Oh ye!!!
This is just one city 20 $billion.......multiply that by a factor (for possibly hundreds or thousands of other cities world wide), and then think about what the 'renegotiated settlement' means for the businesses, ex employee pension schemes etc, that are owed the dosh.

Not small beer.

 

[LargeHadronZugzwang]

A non story. They have filed for bankruptcy protection which will eventually allow for renegotiation of current debt covenants

And who is going to be paying this off? The taxpayer continually? Did not Ford, GM and Chrysler and the top banks get many billions of $$$. Clearly what happened in 2008 in your view is just an anomaly and maybe you think Quantitative easing is not occurring to keep the whole system afloat? To assume that bankruptcy will somehow make things alright is somewhat delusional, as money will be owed somewhere.

 

[Pavilionaire]

Maybe sell it to Canada?

 

[Perfidious Albion]

Back around 2008/9 the U S Govt. made a "bail-out" of million$ to the Detroit Motor Companies to protect jobs and ensure that tax revenues would still flow....What went wrong with that?

 

[hybrid_x]

the economy COLLAPSED in 2008 - never to be fixed (in its current model) - the rich elite are papering over the cracks so they can still milk it.......the whole economy worldwide is going to get wobby as it begins to die over the next 2, 5, or 10 years....... if you think in 10 years time you will be playing with ISA's and pensions you really need to do some deep independent study of what is going on.

for each day that passes, paper money becomes more and more worthless.

 

[Herr Tubthumper]

It is not ironic that the home of the manufacture of the car is one of the first to go.

I think Stuttgart might have something to say about this.

 

[halbpro]

the economy COLLAPSED in 2008 - never to be fixed (in its current model) - the rich elite are papering over the cracks so they can still milk it.......the whole economy worldwide is going to get wobby as it begins to die over the next 2, 5, or 10 years....... if you think in 10 years time you will be playing with ISA's and pensions you really need to do some deep independent study of what is going on.

for each day that passes, paper money becomes more and more worthless.

Would people have not said the same thing during the Great Depression?

 

[Insel affe]

This did not help the wifes home town

Feds: Ex-mayor Kwame Kilpatrick, pals took millions

http://www.freep.com/article/201012...-Ex-mayor-Kwame-Kilpatrick-pals-took-millions

 

[beorhthelm]

And who is going to be paying this off?

the point of bankruptcy is that no one pays it off. its gone, written off, someone takes a loss.

 

[Kalimantan Gull]

the economy COLLAPSED in 2008 - never to be fixed (in its current model) - the rich elite are papering over the cracks so they can still milk it.......the whole economy worldwide is going to get wobby as it begins to die over the next 2, 5, or 10 years....... if you think in 10 years time you will be playing with ISA's and pensions you really need to do some deep independent study of what is going on.

for each day that passes, paper money becomes more and more worthless.

Europe is certainly in trouble - but to say that the economy worldwide is on its knees is missing the mark, I live in the middle of a booming economy with rapid growth.

 

[Sergei's Celebration]

I heard something a little amusing but due to the reducing population of detroit through migration they have lost nearly half a million in about ten years however they are still trying to keep the same size city still running (without 1/2 million peoples taxes).

Well i found it interesting.