Budget woes have Oakland mulling bankruptcy

California is the 11th largest economy in the world and they are having funding problems.  A State is only as strong as the people that live in the municipalities.  This story gives a glimpse of that state of the US GOVT.

—–

Even though city officials would prefer to avoid a public conversation, behind closed doors the Oakland City Council has discussed filing for bankruptcy protection in the midst of a $100 million budget deficit.

“We have asked the (bankruptcy) question because we wanted to know the impact,” said District 5 council member Ignacio De La Fuente. “In closed session, the question has been asked, and an answer was given.” He would not elaborate.

“It’s a possibility,” he acknowledged. “Things are that bad.”

http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2009/06/09/BARI183DJB.DTL&type=newsbayarea

Last 5 posts by MacroMan

• Thiel: Still heading toward deflationary endgame - August 4th, 2010
• Around the markets in 6 charts or less - May 6th, 2010
• Quotable - May 5th, 2010
• Quoteable - April 29th, 2010
• Pimco Warns of Deflation Risk as Central Banks to Cool Stimulus - April 21st, 2010

No Comments

No comments yet.

RSS feed for comments on this post. TrackBack URI

Leave a comment

You must be logged in to post a comment.