"What’s happening in Chicago is a reminder of why Nevada should move toward individual retirement accounts. Taxpayers today shouldn’t be stuck paying off pension debt that accrued decades earlier."
The “stuck paying” comment reflects an extraordinary lack of comprehension of debt instruments. Construction bonds, utility bonds ,,,ad nauseum, exist because of a mismatch between cash flow and reasonable spending needs. Would he suggest that LasVegas stiff all the bond holders because some of the cash flow from the bond issue went to fund pensions? Bad decisions and/or current day recognition of bad decisions doesn’t change the financial commitment the issuer made. “Stop electing fools” or “live within your means” would be better suggestions.
A largely unasked question is becoming glaring: Is Illinois doing all it should to use artificial intelligence to make government cost less and work better? So far, the evidence says no.
The “stuck paying” comment reflects an extraordinary lack of comprehension of debt instruments. Construction bonds, utility bonds ,,,ad nauseum, exist because of a mismatch between cash flow and reasonable spending needs. Would he suggest that LasVegas stiff all the bond holders because some of the cash flow from the bond issue went to fund pensions? Bad decisions and/or current day recognition of bad decisions doesn’t change the financial commitment the issuer made. “Stop electing fools” or “live within your means” would be better suggestions.