Detroit Michigan Files Bankruptcy Thanks To A Generation Of Liberalism

July 19, 2013 9:45 amViews: 5723

Detroit bankruptcy


Detroit Michigan used to be the hub of American prosperity. It was the home of the US car industry and where Motown Records was started that gave us the soulful sounds of the 60s and 70s. The rock group Kiss even wrote a song about Detroit entitled, "Detroit Rock City." Detroit Michigan is now a rusting hulk of decay brought to you by a generation of liberal Democrats as mayors and union policies that have brought the once gleaming star of US capitalism to its knees.

Detroit Michigan is bankrupt. It is the largest municipal filing in United States History. It's population has gone from an enormous 2.3 million during the height of American automotive dominance to a shrunken 700,000 people, many of whom don't even pay their property taxes because the city services are almost nonexistent.

Thanks to liberalism we have a shining example in Detroit of what not to do and policies that don't work. Unfortunately, liberals for the most part are ignoring the warning signs from Detroit rust city. Is the rest of America next?

Read more below from the The Washington Post:

Detroit filed the largest municipal bankruptcy in the nation’s history Thursday afternoon, capping a long decline that left the nation’s automaking capital bleeding residents and revenue, while rendering city services a mess.

The nation’s fourth-largest city in the 1950s with nearly 2 million residents, the city has seen its population plummet to 700,000 as residents fled increasing crime and deteriorating sevices, taking their tax dollars with them.

The five-decade slide has left the city owing creditors some $19 billion and under the control of a state-appointed emergency manager. The manager has been negotiating with creditors from bond holders to pensioners to forge a plan to restructure the debt. But an agreement proved elusive as pensioners objected to benefit cuts and bond holders and insurers pressed the city to sell off assets to repay money the city borrowed to fund improvements and plug deficits.

Earlier this week, lawyers for the city’s two pension funds filed suit seeking to block Michigan Gov. Rick Snyder from authorizing a bankruptcy filing. Now, the efforts to restructure Detroit’s staggering debt will play out under the supervision of a federal bankruptcy judge, a process that could take years.

The city’s massive debt is matched only by a devastating loss of revenue and residents — a long-term condition that has escalated in recent years.

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