5:08 PM, Jul 1, 2015 • By GEOFFREY NORMAN
One reads of the crisis in Greece. And the one much closer to home in Puerto Rico. The crisis, that is, that inevitably comes after spending too much and taking on more debt than it is possible even to service, much less pay down. One thinks of how unfortunate it is for the people who will now redeem with pain, the promises made by the politicians of previous generations. And then, gives thanks that it can’t happen here.
Except … remember Detroit which once had the highest per-capita income of any American city and was obliged, not so long ago, to declare bankruptcy. And now, some early signs of distress in Chicago. As Bill Ruthhart and Heather Gillers of the Chicago Tribune report:
Chicago Public Schools officials warned Wednesday that without relief from their next massive pension contribution, they would have to make $500 million in additional cuts in the coming year, on top of looming cuts they say will be caused by this year's pension payment.
The inevitable crisis was deferred as:
The district has more than $1.1 billion in new short-term borrowing authority approved last week by the school board, on top of $500 million in authority it already had. But $700 million of the district's debt must be repaid by early October, with the rest due a year later.
That could lead to the district running out of cash to pay all its bills during the coming school year — unless there are significant education cuts, new revenue or a combination of the two.
As we have witnessed with the situation in Greece, when you hit that wall … you hit hard.
4:28 PM, Jun 17, 2015 • By GEOFFREY NORMAN
The subject of debt – how much and how tolerable – slipped into the shadows for a time. But yesterday, it reappeared. As Rebecca Shabad of the Hill reports:
5:30 PM, May 15, 2015 • By DANIEL HALPER
President Obama has reported less than $1,001 in his savings account. The disclosure comes as part of the president's annual Executive Branch Personnel Public Financial Disclosure Report.
The only savings account listed by the president is a "JP Morgan Chase Private Client Asset Mgmt Savings Account," according to the disclosure reports.
9:09 PM, Feb 2, 2015 • By DANIEL HALPER
President Obama's budget is not likely to be passed by Congress. But if it did, the U.S. would be about $26.3 trillion in debt.
The numbers come from Obama's budget, and were sent around by the Republican National Committee to highlight the heavy spending in the president's proposed budget:
9:00 PM, Feb 2, 2015 • By DANIEL HALPER
Senator Jeff Sessions, the former ranking member of the Senate Budget Committee, says President Obama's proposed budget "raises taxes by $2.1 trillion."
"The President has sent another tax-and-spend budget to Congress," Sessions says in a statement responding to Obama's proposed budget.
A collision between national sovereignty and the European Union in the birthplace of democracyFeb 9, 2015, Vol. 20, No. 21 • By CHRISTOPHER CALDWELL
In Athens in mid-January, two weeks before the election that would make 40-year-old engineer Alexis Tsipras Greece’s new prime minister, a bunch of cleaning ladies explained to me why they planned to vote for his party, the Coalition of the Radical Left (Syriza, for its Greek acronym). We met where they had lived, at least part of the time, for the past 16 months: among tents on the sidewalk in front of the economics ministry in downtown Athens.
3:23 PM, Jan 29, 2015 • By IKE BRANNON
New York governor Andrew Cuomo, not content with President Obama’s proposal to make junior colleges free, recently introduced his own plan for New York to essentially waive the first two years of student debt payments for college graduates living in the state.
9:10 AM, Jan 20, 2015 • By DANIEL HALPER
Under President Obama, $7.5 trillion has been added to the national debt. The number is being highlighted by the Republican National Committee ahead of President Obama's State of the Union address, which will be delivered tonight from Washington.
1:47 PM, Jul 30, 2014 • By MARK HEMINGWAY
As I've made pretty clear, I am not a fan of the "explanatory journalism" trend that purports to take an empirical approach to explaining complex issues. Its chief practitioners are a bunch of young, terribly biased journalists who tend to treat politics and policy as some sort of game, even as they broadcast their ignorance. Anyway, if you want a concise example of why explanatory journalism is bad—so pure and crystalline it could have been produced by Walter White—let me direct you to this Vox.com piece on Medicare.
8:41 AM, May 19, 2014 • By GEOFFREY NORMAN
More signs that the dynamism that once characterized the American economy is waning:
7:35 AM, May 12, 2014 • By DANIEL HALPER
Timothy Geithner, the former secretary of the Treasury Department, says the White House wanted him to lie in scheduled appearances on the Sunday TV talk shows. As Geithner writes in his new memoir:
9:02 AM, May 5, 2014 • By GEOFFREY NORMAN
This is not a good time to be young in America, and soon it will be less so. The generation that elected President Obama will see the price of that college education which was supposed to open so many doors go up.
11:01 AM, Mar 26, 2014 • By DANIEL HALPER
The Republican side of the Senate Budget Committee has put together this chart showing that payments on the interest of federal debt will "dwarf virtually every federal expense" in 2024: