-- Connecting the dots between our economy, government and business --
Summary and audio linked here.
Chicago’s political leadership is floating a pension buyout program as evidence it is seriously addressing the city’s thirty-six-billion-dollar unfunded pension liability, but Mark Glennon, founder of the Illinois policy research organization Wirepoints, said that the proposal moves debt from one column to another rather than reducing it, and that the broader fiscal picture facing the city continues to deteriorate across every measurable dimension. Audio here.
Expect no retraction or apology. This what they do.
The state’s existing buyout program for its own pensions is the precedent for Chicago, which should be a warning: Look out for similar exaggerated claims and shoddy analysis.
Full interview and summary linked here.
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This problem will fix itself in the next housing crash. The moment housing prices start to fall in Illinois, the specu-vestors, flippers, the overextended, the unrealistic sellers, they will all pile into the market at the same time trying to flee in the sinking ship as prices crash. We’ve seen this all before. It will not be different this time.
My family member is a VP at a major bank which I will not name, but if anybody tells you or you believe like the news media says that the economy or housing market is in great shape, just wait for what is forthcoming again, individual debt is so great on credit cards, auto loans, housing loans did anybody learn a damn thing from the last downturn. As my family member would say the shit is gonna hit the fan big time.