-- 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.
SIGN UP HERE FOR OUR FREE WIREPOINTS DAILY NEWSLETTER
Need to be careful about the Cato Institute stories since they are a Libertarian leaning news source and will often leave out critical facts. Interesting read but not giving the full story.
What critical facts were left out?
I to am interested in what critical facts were left out of the story. Please fill us in.
JB should at least reach around if he’s going to continue to .. us up the …
As Rivian teeters on the brink of collapse it’s time for Pritzger and his cabal of democrats to throw a few more million tax dollars away and hand over more cash to the company. Isn’t that the way they, democrats, do things? Al Gore? Al Gore? Paging Al Gore.
Thank you Pritzker for investing my money and every taxpayers money in another looser of a company, bravo Pritzker you the man?
There are a lot of articles in the media on Rivian lately. The liberal media has been trying to pump up the company and try to encourage investors to consider the stock. Then you’ll read a story about a guy who bought one for more than 90 grand and dumped it a year later at a loss of 30,000. Bottom line, they have no service network and can’t hit production targets. It’s another Pritzker L.
Last quarter Rivian had a gross margin of negative 39 thousand per car. They are stuck in a plateau. They can’t raise prices in the marketplace (look at Tesla pricing) and accordingly will have difficulty increasing volumes. More volume is needed to cause their fixed expenses to be competitive. Not easy for them. Right now absent terrific technology advancement they don’t have a path to a positive gross margin.
Rule of thumb in the auto industry is a plant must be at 80% of capacity before it makes money. Currently Rivian is at about 35% – 40%. Rivian has new and less expensive models coming in the next year or two but that might not be soon enough to save them especially if the EV market slows down even more.