mead cohen berger shevtsova garfinkle michta grygiel blankenhorn
Obama to Detroit: Drop Dead

US-POLITICS-OBAMA-ECONOMY

Update: Detroit files for bankruptcy. More thoughts tomorrow. Below is our post from earlier today.

Detroit, one of the 20th century’s great American cities, is now almost certain to stagger through the early 21st century in Chapter 9 bankruptcy. The WSJ reports that the chances of out-of-court settlement are scant. Emergency manager Kevyn Orr is unlikely to reach agreements with enough of Detroit’s bondholders and pension funds to restructure the city’s debt:

Mr. Orr “has taken such a hard line with creditors that a bankruptcy filing is inevitable,” [research advisory director Matt] Fabian said. […]

A “free fall” bankruptcy filing—one without a clear plan or much agreement beforehand with creditors—is a likely outcome.

Buried in the middle of the report is a telling climax to this sorry tragedy:

Any hope of a federal bailout to avert bankruptcy fizzled last week after Mr. Orr spoke with the White House, including Obama confidante Valerie Jarrett, according to city and White House officials.

This is where blue governance has brought Detroit in the end: not even a liberal Democratic administration will step in to save the pensions of thousands of public workers and African Americans, condemning countless innocents to having their pensions and health benefits gutted in bankruptcy court.

Blue model defenders will point to the cruel exodus of General Motors, the unjust outsourcing of American manufacturing, and the general unfairness of life in the big city as the culprits in the slaying of Detroit. But these champions of the marginalized should keep a few facts in mind.

Detroit has been spending on average $100 million more than it has taken in for each of the past five years. The city’s $11 billion in unsecured debt includes $6 billion in health and other retirement benefits and $3 billion in retiree pensions for its 20,000 city pensioners, who are slated to receive less than 10 percent of what they were promised. Between 2007 and 2011, an astounding 36 percent of residents lived below the poverty line. Last year, the FBI cited Detroit as having the highest violent crime rate for any major American city. In the first 12 years of the new century, Detroit lost more than 26 percent of its population.

And now Detroit’s desperate request for a bailout has been turned down by the Obama White House.

Progressive politicians, wonks, and activists can only blame big corporations and other liberal bogeymen for so long. The truth is that corrupt machine politics in a one-party system devoted to the blue social model wrecked an entire city and thousands of lives beyond repair. The sooner blues come to terms with this reality, the greater chance other cities will have of avoiding Detroit’s fate.

[Obama tours the Daimler Detroit Diesel Plant. Photo courtesy of Getty Images]

Features Icon
Features
show comments
  • bpuharic

    No one knows what ‘blue governance’ is, it seems. If Obama’s not supporting it, what is it? If it’s always bad, why do southern states suck in education? It’s an Alice in Wonderland term…it means exactly what WRM means it to say.

    • Fred

      A partial list of logical fallacies I’ve encountered in your comments on this blog:

      1. Question begging (“Courtiers Reply” argument)

      2. Irrelevant conclusion (In response to the vacuous, if not idiotic, statement “Religion has NO rigor of thought, save perhaps rigor mortis” I supplied a rather long list of rigorous religious thinkers. Your reply: “Brilliant people can be wrong.” I never claimed they were right, only that they were rigorous. Which, if any, of them were right is another debate.)

      3. Straw man (“I suppose discrimination and Jim Crow had NO effect.” No one had argued anything remotely that ridiculous on that particular thread.)

      4. Red herring (Bringing up conservative “hypocrisy” about racial history when the subject at hand was lowering educational standards for minorities)

      5. Ad hominem (see 4. above)

      6. And now I can add tu quoque (But…but…but the REDS do it too!)

      If you’re trying to get in the Guinness Book of World Records for the most logical fallacies by a commenter on a single blog, by gosh, I think you’ll make it. I’m rootin’ for ya. But seriously, b., if you really do have a graduate degree (a proposition I confess I find rather dubious), you really should petition the institution you got it from for your money back. It did a lousy job of educating you, unless, of course, your degree is in education. In that case, your graduate school did about as well as can be expected.

      • bpuharic

        Actually the Courtier’s Reply is not what you say it is. It was invented by U of MN biologist P Z Myers in reference to Christians who say you have to have a PhD in theology to be an atheist. Try again.

        The fact religious thinkers are wrong and you haven’t provided any proof they’re ‘rigorous’ means you’re begging the question.

        And the list goes on and on. But you knew that.

        • Fred

          I’m not going to argue with you b. I tried that. There’s no ROI in it. I honestly don’t know whether you’re an idiot or just so ideologically blind and rabidly partisan that you really believe that the talking points you spew are holy writ and anything that contradicts them is ipso facto wrong, regardless of its logical validity or factual correctness. Either way, arguing with you is a frustrating experience, closely akin to arguing with a child, a drunk, or a
          lunatic. So henceforth, I’m limiting my interaction with you to laughing at you
          and making fun of you. I know it’s cruel to torment idiots and lunatics, but you’re so obnoxious, it’s impossible to have any sympathy for you.

          • bpuharic

            You lost the debate so hurl insults

            That’s what the right does. You have a post devoid of content. Which is no different than any other post you make

            Laugh away

          • GardenGnomeLF

            You are so funny.
            Most democrats don’t even bother with debate. They just go straight to screaming racial slurs or other names depending upon the color of the other’s skin.

          • bpuharic

            And yet it’s conservatives who tell us the south never had slavery and has always welcomed blacks from being lynched in the north.

          • Andrew Allison

            Please don’t feed the troll.

          • Jeff Jones

            bpuharic, reading your posts is entertaining. You’re always the first to call other posters out on insults, yet you insulted everyones’ intelligence just the other night with that ridiculous reference to a study that supposedly demonstrated that conservatives are less informed. And what was your reference? An article on Huffington Post for God’s sake. Yes, I’m sure you would embrace a reference from FoxNews.com with an open mind.

            First of all, Huffington Post brings up studies like that every few months. I’ve read those articles and none of the studies referenced employed a control group, which means nobody with even the weakest commitment to scholarly review would take them seriously.

            You rarely miss a chance to tell others that they get their facts from Fox or Rush Limbaugh, all the while forgetting that’s exactly why we read Via Meadia – so we can get both sides. It’s painfully obvious that your problem is that a reasonable centrist like WRM doesn’t typically agree with partisan viewpoints, which makes you angry. Bottom line, neither extreme ever works, so things like Obamacare inevitably fall flat. They’re “comprehensive” bills and laws, which represent radical change. In this day and age, with a country the size of the US, only careful incremental reforms will work.

          • bpuharic

            WRM agrees, generally, with the “Red” model which is why he discusses Detroit while ignoring the cause of the current economic situation.

            As to controls, I suggest you take it up with the social scientists. I’m a physical scientist, but agree that conservatives generally don’t even try to be empirical. They have their Dogma…Hyack, etc, and rarely deviate from it, no matter what the evidence shows.

            We, the US, are a latecomer to universal healthcare, so we should have an embarrasment of riches to use….but the right simply refuses to look at evidence and prefers dogma instead

          • Jeff Jones

            > We, the US, are a latecomer to universal healthcare, so we should have an embarrasment of riches to use….but the right simply refuses to look at evidence and prefers dogma instead

            We don’t have an embarrassment of riches. We have an embarrassing lack of them. $17 trillion in IOUs to be precise.

            As for refusing to look at evidence and preferring dogma, did you and other liberals bother to read the NYT article linked below back in 2006? There was ample evidence back then that universal government-sponsored healthcare had fatal flaws, but you wanted it so badly you forced through a radical change to 1/6 of our economy and entrusted its implementation to politicians like Sebelius, instead of industry veterans.

            The current dismal results were predictable to anyone who wasn’t blinded by ideology.

            Obamacare violates the very premise of insurance. It’s like forcing homeowner’s insurance companies to give policies to people who call after their house is already on fire. The basic idea of insurance is that you pay the company to accept your risk. To force them to take people with pre-existing conditions is to transfer burden, rather than risk. There is no reason that should ever work. Car insurance companies don’t offer retroactive policies after a crash.

            http://apolyton.net/showthread.php/149279-Canada-s-Private-Clinics-Surge-as-Public-System-Falters

            NOTE: This link is to a third-party posting of that article, as the NYT is a pay site.

          • bpuharic

            I said ’embarrassment of riches’. You seem to think the US is the only country in the world

            We could have learned from over 100 countries that have single payer, universal insurance. We didn’t.We cobbled together a program that had as its first goal the preservation of insurance companies. THey wouldn’t permit a plan without their participation.

            So yes, we coul have learned from OTHER countries.

            We have a failure? It’s an American failure.

          • Jeff Jones

            There are a couple of questions that I have yet to see any left-leaning person answer (preferring to avoid them):

            1. If you get the government health plans you want (single-payer), why do you care if I keep my private insurance plan that I want? Why make it a crime to either use private insurance or to criminalize paying doctors in cash as Hillarycare promised to do?

            2. If single-payer is so successful, why are private clinics appearing all over the UK and Canada? Those are the two most visible examples of single-payer healthcare? Logic would dictate that wildly-successful government programs would preclude the need for private healthcare, right?

            I await your answers. And, please do not waste time and server storage with tired jabs about Fox News, Rush Limbaugh, Glenn Beck, the Koch Brothers, the 1%, GW Bush, “unfunded” tax cuts, “Repugs,” Sarah Palin, etc.

          • cubanbob

            Most of those countries also allow private pay and private insurance.

            But the premise you start with is that other people owe you a living. Most people in this country have t bought in to that.

          • Jack Klompus

            You are such a painfully stupid, ignorant, and obnoxious individual. I cannot fathom that there exists a living breathing being on this earth who can tolerate your presence for one lousy second. You are a nasty, juvenile little cretin.

          • bpuharic

            No my name isn’t Roger Ailes. Sorry.

      • Corlyss

        Someone reminded me yesterday not to feed the tolls. I pass it along. Take the few minutes your post would take and teach your kids or grandkids about critical thinking and why it is import to learn such skills early in life.

        • bpuharic

          Rush (PBUH) makes $400M a year.

          You were saying about critical thinking

          • bannedforselfcensorship

            Hillary Clinton makes $200,000 / speech. She will catch up to Rush pretty fast at that rate, and Rush never was a public servant and had to work for his money.

          • cubanbob

            Yes he earned it. Just like actors, rappers and major league athletes. You have a problem with that? Obama made millions with his ghost-written book. The Clinton’s made $40mm last year giving speeches. You have a problem with that?

    • AD_Rtr_OS

      Oh, now CA is a Southern State?

    • http://www.thepiratescove.us/ William_Teach

      How many Southern cities are on the verge of bankruptcy? Why does it seem that the vast majority which are dying are in deep Blue states? Heck, even Blue cities in the South don’t have the problems of Blue cities in Blue states.

      And, really do you want to talk about education in Detroit? I think the main thing they teach is Violent Crime and Burglary.

      • bpuharic

        Most southern states have pretty dismal education records. And the right bankrupted the COUNTRY. A few cities hardly matter given the Mongol like attack on the US economy waged by the right.

        • http://www.thepiratescove.us/ William_Teach

          It’s time to man up, bpuharic, and admit that the governance policies of the Left stink. The first step in fixing a problem is to admit you have a problem. Denial doesn’t help, nor does blamestorming and deflecting.

          But, since you’re so worried about bankrupting the country, will you denounce Obama and the Dems for jacking up the deficit to historic levels, along with adding over 6 trillion to the debt in under 6 years?

          • bpuharic

            The depression started in 2007. We had a GOP congress and a GOP president

            Neither of whom was lieft wing. so history proves you wrong.

            And let me educate you about economics: In a depression, deficits ALWAYS go up. It can’t be avoided. If you

            You can not cut your way out of a depression.

            But the right wing would rather bury this country rather than help the middle class

          • cubanbob

            The democrats took control of the congress in January 2007. Facts are inconvenient to you.

          • bpuharic

            You mean like the fact the damage had been done and the people threw out the GOP because of the job losses that were starting by then?

          • Jeff Jones

            We didn’t have a GOP congress in 2007. Pelosi was installed as speaker on January 4, 2007. It’s disingenuous to count three days as having GOP control of the house for all of that year.
            And, stop trying to pin the TARP solely on republicans. That measure passed with bipartisan support. I personally hated it, but both parties seemed to want it.

          • bpuharic

            Correct. It was the years of GOP congresses before that that blew out the economy with deregulation.

            TARP was a symptom. We had no choice BUT to pass it after what supply siders did to the economy

          • Jeff Jones

            > It was the years of GOP congresses before that that blew out the economy with deregulation.

            I’ll allow that they played a role. Nobody was more furious with Wall Street in 2008 than me. But, I’m sorry, the world is not as simple as you’re trying to make it out to be. European banks were leveraged over 60-to-1 that same year, whereas ours were around 35-to-1. Their system would have collapsed if ours had not first.

            And, what caused ours to collapse first? That’s right, the fact that they were bundling bad loans that the government forced under the Community Reinvestment Act. That made it so they could never assess the risk of these “securities.” Again, why didn’t the European banks collapse first if they borrowed almost twice what Wall Street did? There is no real regulation at 60-to-1.

            So, let’s not try to simplify a complex issue. Again, I’m not defending Wall Street. But, you shouldn’t be insisting that government didn’t play any role, because it did. To say otherwise is irresponsible and just dead wrong.

          • Jeff Jones

            > TARP was a symptom. We had no choice BUT to pass it after what supply siders did to the economy

            Earlier you said the GOP was solely responsible for the TARP. Are you now forgiving the republicans for their part in passing it? If so, why did you try to paint it as a negative measure before?

  • Anthony

    “The truth is that corrupt machine politics in a one-party system devoted to the blue (Fordist) social model wrecked an entire city and thousands of lives beyond repair….” WRM, is it really that simple?

    • bpuharic

      Dontcha know? Corruption NEVER happens in red states. WRM has a serious fetish for the great minimum wage job producing state of TX where more people are uninsured than any other state in the nation. Isn’t that a model for the rest of the country?

      Oh…and crony capitalism NEVER happens there…this article from the communist newspaper, the “WSJ” MUST be a lie

      http://online.wsj.com/article/SB10001424052702304760604576428262897285614.html

      • bannedforselfcensorship

        Of course, this is why smaller, limited government is the answer. Less graft to go around, less reason to bribe people. You are simply saying “Ma, the other kids are walking off the cliff, so I should too!”

        • bpuharic

          Limited govt does not, by any means, mean less graft at all. It’s like burglars saying we should eliminate the police dept.

          One of the proudest achievements of humanity is a properly functioning govt.

          • cubanbob

            Limited government simply means less opportunity for graft and corruption.

          • videosavant

            The larger the government, the greater the surface area for corruption. This is indisputable. The elected have no relation to angels.

      • zj sky

        He was not saying that it never happens there – you are guilty of the straw man logical fallacy. He is correctly stating that Detroit’s many problems were exacerbated by the well documented corruption (Kwame!) and the outcome of 50 years of Democratic rule. You can’ t refute this therefore you seek to argue against something he did not say. Grow up

        • bpuharic

          Conservatives are MUCH more efficient. It only took them 10 years to bankrupt the US.

          • cubanbob

            If only. Then we could wipe away all of the deadbeat parasite obligations and start fresh.

      • cubanbob

        And where do you get the notion that the taxpayers owe you a guaranteed living and benefits?

      • videosavant

        And if someone living in Detroit had a choice between staying or heading to San Marcos or Waco or New Braunfels, they’re going to pick Detroit. If so, then they’d have earned whatever comes their way. Because they’re unable to understand what is in their best interest. Which, again, explains Detroit — Democrats discourage personal responsibility and personal decision-making, treating its voters like free range rugrats. They can’t take care of themselves because they’ve been taught they can’t take care of themselves.

    • Corlyss

      Pretty much. You could throw in the corrosive effects of a civil rights movement that failed to teach personal responsibility for ones own actions, that decided unwed motherhood was a “life-style” choice to be state-supported instead of blocked at every turn, that saw minority political power as an opportunity to behave with the same venality, greed, and predatoriness that while politicians had.

      • bpuharic

        Boy you sure can rely on the right wing to regurgitate the “Welfare Queen” motif at the drop of a hat, can’t you? The 200 years of SLAVERY and racism prior to that not so much

        • Anthony

          To my memory, WRM’s initial description and critique of Blue Model governance were without overtly partisan connotations; however, continuing denotation has been both seized upon and interpreted (by some) to justify ideological predispositions negatively skewed toward reality of mixed economy.

          • Andrew Allison

            Please don’t feed the troll.

          • Anthony

            Andrew, he adds a point of view despite what may be perceived as vitriol/antagonism to some.

          • Jim__L

            You’re very kind to use the phrase “what may be perceived” as vitriol / antagonism, but the uncertainty is not very accurate.

          • Jim__L

            Actually, WRM’s original opinion of the Blue Model (that he still holds, as far as I know) is that it was a very GOOD thing, in its time.

            It’s probably easiest to search through his long-essay archives to find several pieces tracing the development of the Blue Model (1.0, 2.0, etc, which lay out its precepts in great detail) where WRM tries to push the conversation to how to reform the Blue Model to prevent the sort of severe financial problems we’re seeing today while preserving what is good about Blue.

          • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

            The fundamental problem I have with the Blue Model is that it diminishes the incentive for the exercise of personal initiative, replacing it with an excessive trust in those with wealth and power to secure one’s future FOR them.

            That is not only setting up the one for calamity, it is turning off the tap from which the “secret sauce” of American prosperity and compassion flows … the exercise of personal initiative.

            IMHO, the Blue Model was a mirage, that we were able to believe in for so long only because we had a de facto monopoly on economic power for thirty years after WWII … and successful government interventions in areas where that was legitimate – WWII, civil rights, going to the moon – that led many to believe that government intervention could solve ANY problem, and that the suppression of initiative and liberty was an acceptable price to pay to achieve other “solutions”.

        • GardenGnomeLF

          Go move to Detroit. Experience first hand What the Democrat Party does to minorities.

          • bpuharic

            One simply needs to see a black swinging from a branch to know what the GOP does to minorities.

          • Corlyss

            The Democrats were the lynchers; you’re so ignorant of history that you don’t even know THAT much.

          • bpuharic

            I love watching the right winger’s head explode when I tell him, as a fact of history

            conservatives USED to be Democrats

            You can just see him starting to faint….

          • cubanbob

            All those Klansmen were populist democrats. They voted for FDR and the New Deal.

          • bpuharic

            Somehow right wingers think the fact conservatives USED to be DEMOCRATS is something that’s supposed to make me swoon

            And you talking about all those small govt, states rights racists? That argument sound familiar?

          • cubanbob

            Look pal racists can be progressives as well. That’s what those old-school southerners were. Too bad reality doesn’t fit your fantasy.

          • videosavant

            Excellent work there. When the facts don’t support your illogical beliefs, you just turn them upside down. Distant relation to Goebbels, perhaps?

          • zj sky

            Of course you pull the race card – you liberals are mentally deficient – you can’t debate us nor defend the outcomes of your ruinous policies – it’s easier to scream “racist”. Bpuharic, fuck you for your idiocy and what you assholes have done to our country.

          • Oscar_DeGrouch

            You mean the party that emancipated slaves?

            Google Robert Byrd (D-VA).

            And think before you ignorantly bloviate.

          • Faceless Commenter

            Read history, pbuharic. The KKK, lynchings, and Jim Crowisms were DEMOCRAT practices.

          • bpuharic

            STAND BACK EVERYONE! Watch is his head explode when I tell him:

            DEMOCRATS USED TO BE CONSERVATIVES. Yep. Southern Democrats were right wing…

            I nope no innocents were injured in the explosion….

        • Snickersz

          Stockton and San Bernardino also went bankrupt. Was it slavery & racism that caused their financial problems too? No! It was city “budgets” that were out of touch with reality. Detroit was similar, but had the added disadvantage of having corrupt politicians like Kilpatrick in charge. Open your eyes. Was it “SLAVERY and racism” that caused Kilpatrick to be convicted of so many crimes?

          • bpuharic

            HHmmm…funny how all these things are happening after the 2007 economic meltdown engineered by Wall Street…almost as if the 2 are connected

            But that can’t be because the wealthy are pure and holy….

          • videosavant

            The stupid…it burns.

          • cubanbob

            You keep harping on Wall Street but you can’t wrap your head around the fact that Wall Street is almost all democrat. Speaking of exploding heads yours must blown up quite a while ago which explains your inane comments.

          • Snickersz

            I’m guessing that Detroit’s finances were screwed up long before 2007. Several firms on Wall Street paid for their stupidity by going BK. What price did politicians like Dodd, Frank & Waters pay for their malpractice that helped lead to the credit crisis?

            Your holier than thou attitude toward the wealthy overlooks the fact that Democrats in general & Obama in particular would not get elected to office if it were not for wealthy bundlers raising money on Wall Street etc.

        • cubanbob

          I believe in paying child-support for my kids but not for yours or other people’s kids irrespective of color.

      • Anthony

        I don’t quite infer corrollary to Quick Take but the protracted period of historic sixties are fully documented on the library shelves; now as to social pathologies you tie to civil rights floodgates opening, I think the failures you describe to 1964/1965 Civil Rights Acts are non sequitur – at what point is legalization of civil rights parity implicated in societal ills (and I surmise you’re commenting about black pathologies as you see them). Also for all intents and purposes, this is my last response to this reply thanks.

        • Kavanna

          I don’t think it had so much to do with “civil rights,” as it did with Great Society and the revolution in public employee unions that started a little earlier, in the late 1950s.

          That revolution made politicians unaccountable to voters and instead beholden to powerful and greedy interest groups, starting with, but not limited to, city employee unions. This is the story that keeps repeating itself across the country. It’s just more severe in Detroit.

          Cities and states that have limited the claims of public employee unions on the public purse are doing better than those that have not. The worst states are Illinois and California, where public employee unions have long ruled the roost and thoroughly intimidated both parties.

          Finally, it’s a story of one-party machine politics and the decline that results when there’s no functional opposition. The most insane stuff goes down.

          • Anthony

            Different proposition which I find little to disagree with and your 1st paragraph encapsulates my original reply.

    • Andrew Allison

      In a word, yes. One could argue that the utter incompetence of the Big Three auto manufacturers in ceding more than half the US market to imports was a contributing factor, but at the end of the day Detroit was destroyed by its government.

      • Anthony

        Too antiseptic an explanation given institutional arrangements – please do not infer exculpatory variables in my reply (Detroit Michigan is a mess).

        • Andrew Allison

          If by antiseptic you mean not buying into propaganda (on all sides), I plead guilty. The fact remains that the responsibility for the governance (or lack thereof) of Detroit lies, unequivocally, with its government.

          • Anthony

            We agree but Detroit is presently the most obvious and egregious – and for many a psychologically and convenient whipping dog.

          • Andrew Allison

            That would be “boy” ;>)
            I would argue that we must place responsibility where it belongs: first with government, and second with those who elected it.

          • Anthony

            You got what you asked for – see above – and on this thread I am done (a smile to you).

          • zj sky

            You use a lot of words to say very little – you also fancy yourself an intellectual – how amazing it must be to view the world as you do

          • Anthony

            You know me not; so reply not and seek your taste. End of thread.

          • videosavant

            Sorry, I don’t think you can give the electorate a pass, at least not completely. They kept electing Democrats and things did not improve, and in fact, the deterioration was constant and visible to anyone with any of their five senses. Instead, they believed something that was completely disproven by their direct day-to-day experience. They have to take a healthy share of the blame as enablers of dysfunction and criminality.

          • Andrew Allison

            Upon reflection, I agree that a city gets the government it elects.

      • cubanbob

        And if it wasn’t for the Wagner Act and the NLRA GM’s management could have resisted the long term wreckage of the company.

        • Andrew Allison

          History (the auto, airline and other industries) that the management of oligarchies finds it easier to agree to ridiculous demands and pass the costs on to the consumer. GM’s “management” is laughable.

    • Kavanna

      Yes, that’s the core of what happened: fifty+ years of false promises. Late in the game, various actors, from “consultants” peddling silly nostrums to Wall Street banks underwriting dubious debt schemes, got into attempts to cash in on “saving” Detroit. But those weren’t the fundamental problems.

      It’s not even being a one-industry town. Other declining cities have managed far better, like Pittsburgh.

      Race conflict was never contained in Detroit, unlike in many other cities, where it died down. White flight and self-destructive behavior of urban black voters and policitians never stopped in Detroit. It made solving the other problems that much harder.

      • Anthony

        WRM’s premise remains too antiseptic and plays to ideological predilections. That is point of my initial query. I am quite familiar with urban machines from Boston to further points west in our illustrous vote swapping history. But Quick Take is too tidy and devoid of legitimate institutional arrangements (sans race question).

        • Jim__L

          It’s tough to stuff nuance into a quick take. (Or quick comment, for that matter.)

          • Anthony

            In response to all three replies at once: first, nuance is life removed of its ‘black and white’ formulations (it ain’t hard); second, perception and kindness can be complementary; third, vis-a-vis WRM’s opening discussion on Fordist (blue model) governance on this blog, you’re on target. Finally, thanks but I am done with this Quick Take.

  • Pete

    The parasitic public sector ate the seed corn and now Detroit is starving. The only surprise is that the collapse has not happened sooner.

    • bpuharic

      THe parasitic financial sector destroyed the economy. ANd the right’s response is to tell us we need to deregulate them

      • zj sky

        Bpuharic – the financial sector did not force Detroit to offer sweet and unsustainable union contracts nor to take on debt. 5 decades of Democratic rule destroyed the city – and the country forcing banks to give loans to people who wouldn’t qualify for jury duty – grow up and read something besides lib propaganda and class warfare rhetoric

        • bpuharic

          Detroit is a city

          The US is a nation. The right obsesses over Detroit because it’s a way to bash the middle class. THe fact right wing supply side economics contributed to Detroit’s demise, as those same economics were bankrupting our country is ignored.

          Class warfare? It’s a fact. The right is waging it and objects to being called on it.

          • thesafesurfer

            Decades of corrupt Democratic leadership in the city coupled with the grotesque greed of unionized public sector workers combined to destroy Detroit.

            You look at the party affiliation of Detroit’s elected officials convicted of corruption and there is only one label- DEMOCRAT.

            You look at the largest creditors who demand billions from Detroit regardless of the consequences and you see only one group- PUBLIC SECTOR UNIONS.

            It’s okay if you can’t handle the truth. You are just like the voters who elected the corrupt Democrats or the blood sucking public sector union members who are leeches to the end on the corpse of Detroit.

          • bpuharic

            Look at the worst depression in 80 years and it has REPUBLICAN written all over it.

            No hedgefund manager was a union member. None of them worked for unions. the twenty five richest hedgefund managers make more than all 80,000 NY school teachers and contribute less to our economy

            It was CONSERVATIVES who rationalized deregulation and are fighting against re regulating Wall STreet today

            Unions are not involved.

            Millions are out of work because of Wall Street

            Unions aren’t in volved

            We have to cut billions from defense because of the collapse

            Unions aren’t involved

            But CONSERVATIVES are

          • thesafesurfer

            The Republicans in Congress and the Bush Administration introduced legislation to regulate Fannie Mae and Freddie Mac. Do you know who stopped them, Democrats named Barney Frank, Chris Dodd, Maxine Waters, and Chuck Schumer.

            You better rethink your rant in light of the facts.

        • iconoclast

          Arguing with idiots who believe Wall Street is responsible for 5 years of recession, unemployment and bankruptcy is a waste of time.

          • bpuharic

            He admits we had a recession

            Guess he doesn’t know that means job loss, unemployment, etc

            But he’s right wing. Res ipsa loquitur.

      • thesafesurfer

        Privatize those services. We don’t need unionized city garbage collectors, street repair crews, etc. etc. etc. Bid that out in contracts to the private sector and audit the bidding process relentlessly to prevent as much corruption as possible.

      • J D

        Here’s an alternative account: http://www.criticalreview.com/crf/pdfs/Friedman_intro21_23.pdf

        A book-length treatment was later published by Penn. Here’s a review: http://financialreviewofbooks.com/2011/11/blame-it-on-basel/

        • bpuharic

          Actually it’s not so much of an ‘alternative’ as it is an expansion. It’s a pretty good reference you’ve provided which fleshes out the role of the rating agencies, and points out that credit default swaps were seen by many (including Nobel Prize winner Joseph Stiglitz) as a prime factor in the collapse of the economy.

          As Elizabeth Warren pointed out the other day, from the time Glass-Steagall was enacted, we went fifty years without a financial sector collapse. 10 years after we repealed it, the biggest banking crisis in 80 years happened. That’s no accident and conservatives are fighting against re-enactment of GS.

          • thesafesurfer

            Warren’s argument is completely illogical. A financial collapse did happen with Glass-Steagall in place, the savings and loan crisis. So how did it prevent one. Someone could argue going of the gold standard was the problem instead and make as little sense. Claiming Galss-Steagall is a fix all is moronic.

          • bpuharic

            Incorrect and she mentioned that. That was a collapse of a SECTOR of the financial sector, not a collapse of all credit markets like the one we just had.

            ANd the gold standard is UFO type argument with no validity at all.

          • thesafesurfer

            Actually the only reason there wasn’t a collapse of the credit markets was that Fannie Mae and Freddie Mac hadn’t expanded the secondary mortgage market the way they did 20 years later and Glass Steagall has nothing to do with Fannie and Freddie.

            As I said the gold standard has as much validity as the Glass Steagall argument.

            You don’t seem to understand the concepts behind Warren’s remarks and just parrot what she says.

          • CBDenver

            The global financial system developed after WWII, aka the Bretton Woods system, was not perfect. It had inherent contradictions that made eventual failure inevitable. See Robert Triffin’s work on this issue (often referred to as the “Triffin Dilemma”). Rescinding Glass-Stegall was just a last-ditch to keep the fragile system going for a while longer. The cracks in the foundation were not caused by rescinding Glass-Stegall, they were inherent in the system itself. It is just a miracle that the whole system lasted as long as it did. Now is the time to move forward and rebuild some new system. While individuals like yourself remain distracted by playing the blame game, the same elites who brought us Bretton Woods are dreaming up the successor global financial system. Unless you want to have something imposed on you again that might not necessarily be in your best interest, you had better get your eyes off the distracting “shiny things” that shills like Elizabeth Warren keep dangling in front of your face and focus on what is really important.

          • bpuharic

            A miracle that lasted half a century and was followed, MIRABILE DICTU! by the worst depression in 80 years when rescinded?

            Looks like special pleading to me.

            THe problem you failed to confront is that it wasn’t UNIONS that brought down the economy it was the FINANCIAL sector

            but, by all means, tell us how many hedgefund managers have unions while they’re making billions

          • thesafesurfer

            The decade long stagflation of the 1970’s and the 1981 recession were worse than the financial meltdown.
            Unemployment reached 10.8% with double-digit inflation and double-digit interest rates. Obama faces the lowest interest rates in history, virtually no inflation and unemployment that barely topped 10.1%

            Again the facts contradict you.

    • Andrew Allison

      Not just the public sector but an utterly corrupt city government.

      • iterdexter

        Right.I fail to understand why the city council isn’t prosecuted for malfeasance.

        • Andrew Allison

          Several of them have been, but at bottom, a city gets the government it elect

  • Corlyss

    “The sooner blues come to terms with this reality,”
    I’m not holding my breath as long as there is a Democratic party or isolated Republicans who think it serves either their image or the interests of the traditional Blue constituents to save the miscreants from themselves. As some point the parents have to let the kids suffer the consequences of their poor decision making. I think they call it tough love. It won’t happen anytime soon.

    • Andrew Allison

      It just happened in Detroit!

      • Corlyss

        Oh, we’re not to the point where the kids get it yet. You’ve seen the stunts they tried to energize the civil rights pimps. This fight is not nearly over. There’s a LOT of passive aggressive and not-so-passive aggressive blowback from the angry, undisciplined brats.

        • Andrew Allison

          I agree with you about the rabble-rousing, but the bankruptcy laws are well established and, regardless of the outcome of the fight between the Unions and the Bondholders, both are going to get pennies on the dollar.

          • bannedforselfcensorship

            We will try higher taxes, wealth taxes, etc. first. They have all the votes.

    • Jim__L

      One problem with this “let the kids learn” approach is that there are vultures waiting in the wings to convince the kids that their parents are just being cruel, and that in exchange for their allegiance to the vultures the kids could keep avoiding the consequences of their actions.

      Something has to be done about the vultures.

      • Corlyss

        Nascent maturity will have to turn the kids into vulture-hunters. After 43 years of waiting for others to impress on the kids the fact that they are being cruelly used, abused, and killed by the vultures, I conclude it won’t happen in my lifetime. Anecdotal evidence tells us “love is blind” and the kids still love the vultures.

  • bpuharic

    Let’s see…the blue model bankrupted a city

    The red model bankrupted a nation

    Which are conservatives upset over?

    • GardenGnomeLF

      Red policies did not bankrupt a nation.
      The housing bust was because of Big Government interference in the housing market. It took 15 years to bust after the first wacko lefty judge said not giving a loan to a black man is racist even if he can’t afford it.

      • Pug

        So the housing bust was the fault of blacks getting mortgages?

        Countrywide, Lehman, S&P and all the rest had nothing to do with it. Only the “black man” who got a loan.

        • bannedforselfcensorship

          Dodd got a nice deal from Countrywide…I wonder why? Dodd was a Democrat.

          Oh, and of course retail mortgage fraud did exist and was a problem. Liar Loans need two people to agree to lie.

        • cubanbob

          You mean Chris ‘Country Wide’ Dodd and Barney ‘ Freddie and Fannie’ Frank had nothing to do with this?

      • bpuharic

        It was right wing interference in the market to bankroll the 1 percent via conservatism that destroyed this country. The right said that credit defaul swaps to the tune of 62 TRILLION was good for America because it made the rich richer and the middle class would pay for any problems…as we should

        • bannedforselfcensorship

          Rep. Frank: I do think I do not want the same kind of focus on safety and soundness that we have in OCC [Office of the Comptroller of the Currency] and OTS [Office of Thrift Supervision]. I want to roll the dice a little bit more in this situation towards subsidized housing. . . .

          —–
          This guy was re-elected by blue voters. Go figure.

          • bpuharic

            Yes, President Frank caused the depression…

            oh..wait…there was no president Frank and he was a member of the MINORITY party.

            Funny how that works

        • zj sky

          So basically you are a class warfare troll and a junior league communist bphuaric – you know as much about the cause of our troubles as my dog knows about quantum physics – your ignorance and liberal psychosis should be studied by scientists

          • bpuharic

            PHHWEET!!! Godwin’s law violation

            Just as it’s a violation when the left uses ‘nazi’, it’s also a violation when the right uses ‘communist’.

            DONE!

          • bpuharic

            PHWEET! Godwin’s law violation…just as it is when the left uses ‘nazi’, so it is when the right uses ‘commie’.

            And I have an MS in chemical physics. I’d be happy to teach your dog what you can’t learn

          • cubanbob

            If you have an MS in chemistry then you should be able to do math. Apparently you are unable to figure out a balance sheet. Stick to chemistry. Finance and basic economics isn’t your forte.

        • d1stewart

          Again: No, that was the left.

          • bpuharic

            George Bush and the GOP congress were lefites?

            Ah..the No True Scotsman fallacy…wink wink..

        • dantes44

          All that time at Occupy Wall Street and that’s all you learned?

    • d1stewart

      Actually the blue model bankrupted a nation. Only a blue model could do so. It isn’t the Republicans who stand for and demand ever greater spending, ever greater dependency, and ever greater confiscation of income. It is the blue Democrats. Still, ever, at it.

      • bpuharic

        Let’s see..the GOP just passed a farm bill that larded billionaires with subsidies while ignoring the poor….

        you were saying….

        • d1stewart

          Yeah, crap like that sounds good to say, even when it’s false–as that is. Republicans cut the farm bill down, and stripped food stamps out of it–you know, the way it had passed for ages. Food stamp bills were and now can be separate. Though I agree with you–they should be eliminated.

          • bpuharic

            They didn’t ‘cut the farm bill down’. THey loaded it with goodies for billionaires and did nothing for the poor. Typical right wing economics. Food stamps are part of the necessary safety net. Subsidies for billionaires are part of the right wing socialist safety net

          • shoemama

            A safety net, yes, but not a way of life for millions!

          • bpuharic

            First, it’s not a ‘way of life for millions’

            Second, we give capital gains tax expenditures, subsidies, etc. to the wealthy. Why isn’t THAT type of welfare a ‘way of life”?

          • cubanbob

            If you pay more in taxes than you receive in cash and benefits from government it isn’t a subsidy. By the way are you willing to give up the cap gain exemption on the gain on your home when you sell it?

          • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

            Food stamps are part of the necessary safety net. Subsidies for billionaires are part of the right wing socialist safety net

            Neither is true.

            If you would take your efforts to help the poor and implement them through private-sector charity, instead of insisting that we all render unto Ceasar so that Caesar can issue EBT cards, not only could you assure more of YOUR money is getting to the right people – you would find that I, and many others, would be right with you doing that with OUR money as well.

            Progressive insistence upon using government to provide such assistance means that a good chunk of that money is eaten up by bureaucracy – and sometimes crony capitalism. You do realize that food stamps started out as a way to expand markets for farmers’ products?

            And the more you demand government be expanded to solve problems, the more opportunities you create for the very crony capitalism you describe.

            Question your paradigm … that is the first step.

        • cubanbob

          I pay taxes for services. Not to transfer money to other people. But you are right about farm subsidies. They should be abolished. That FDR program needs to be abolished. And so does this idiotic corn subsidy for alcohol to burn as fuel.

  • AD_Rtr_OS

    City retirees….at least they’ll have O-Care.

  • bpuharic

    When a union bankrupts a city it’s called greed

    When Wall Street bankrupts a nation it’s called a ‘business cycle’.

    THanks WRM.

    • Jeff Jones

      Shhhhh, you’re admitting that unions bankrupt cities. That doesn’t fit the template. You should know that, bpuharic.

      • bpuharic

        That proves I’m honest…unlike the ‘red’ model which says Wall Street speaks ex Cathedra and can not be questioned lest the Republic fall.

        • shoemama

          Most of us are not fans of Wall Street. (except that our pensions or savings depend on the market going up…to sustain us through retirement.) We don’t like the manipulations that only benefit the investment firms.
          Wall Street is being propped up by the Feds unending printing of paper money. We get away with it now, because we are the world’s Reserve Currency. That is already crumbling by certain countries dealing with each other in their OWN currencies. We will be in a LOT of trouble when we are just like everyone else!

    • RLinAZ

      I’m sure your propaganda is going to go
      a long way to assuaging the fears and poverty hundreds of thousands, if not millions, will suffer as a result of the corruption, lawlessness, graft and greed you are defending.

      Nice work!

      Admitting the problems, accepting they are real, looking for the root causes and having the courage to stop them is the ONLY thing that can possibly prevent this nightmare from repeating itself at every level in the land: from the smallest municipalities to the entire US government.

      But that might mean you’d have to change your ideology and we can’t have that can we?!

      • bpuharic

        I don’t live anywhere near Detroit. I DO, however, live in the US and the right has bankrupted the COUNTRY.

        Nice work!

        The right, instead of looking for root causes, is seeking to justify its failed ideology of supply side economics by rabidly defending those who trashed the entire economy.

        Change of ideology indeed…

        • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

          You are trying to create a Gottrein Utopia by discrediting conservatives By. Any. Means. Necessary.

          We know what really motivates you … intellectual honesty be damned.

          • bpuharic

            Conservatives think of themselves as god?

            Res ipsa loquitur.

            As to dishonesty, conservatives blame everything on unions, then ignore massive multitrillion dollar failures as a result of Wall Street greed

          • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

            No, it is YOU who think you are omniscient, which is traditionally a characteristic of deity … otherwise, you would not have stated to me, a few days ago, that there is no God.

            As to dishonesty, Progressives gloss over their cozy relationships with Wall Street and other financiers, that greased the wheels for Too Big To Fail … the fact that the expansions of government they champion inevitably expands the kinds of crony capitalism you are decrying here … while simultaneously demanding that those who exercised the honest initiative to create wealth surrender ever more of it to support Progressive delusions of Utopia.

            The fundamental dishonesty, though, is encouraging people to believe that they should leave the decisions necessary to secure their prosperity and their future to “experts” in government, unions, and business … and neither exercise their personal initiative to secure it, nor to protect the ability to exercise that initiative from those like you who would take it from them in the name of “compassion” and “social justice”.

            That is how Detroit got to where it is today.

    • cubanbob

      All those Wall Streeters just happen to be democrats. You’re right. Democrats have effed up the country.

    • Jim__L

      GWB and Greenspan came closest to “fixing” the business cycle, in their response to the dotcom crash in 2000, using “wealth effect” / Keynsian solutions.

      That interest-rate manipulation contributed materially to (let’s be honest, with Fannie and Freddie, it entirely enabled) the contagious Bay Area property bubble, which would have burst in 2000 otherwise instead of spreading country-wide.

      The continued existence of that bubble, then its metastasizing (thank you, Fannie / Freddie / FHA, “power of Yes” WaMu, etc), made 2007 as bad as it was. Overly creative “mortgage-backed securities” made things more chaotic, but the underlying bad debt / price bubble was there and would have caused a crash (“correction”) somewhere in that timeframe no matter what government policies were put in place. We didn’t solve the 2000 crash; we just put it off until 2007, at which point it the underlying problems that crashes typically destructively resolve were taken care of, with far more pain because the bad ideas were allowed to spread.

      Anyway, this nation didn’t go “bankrupt” as a result. The problems ended up being in the high hundreds of billions… a big problem, yes, but not enough to cause “bankruptcy”.

      Compare this to other structural issues in the USG that top a hundred trillion, and you’ll see why this country could go bankrupt if we don’t have real reform.

      • bpuharic

        If we hadn’t allowed securities to undergo a 20,000 percent increase between 1997 and 2007, the housing market crash would have been a minor blip. Instead it turned into a financial sector collapse….much worse.

        And, as Paul Krugman pointed out, our sustainable level of debt is about 460B. The debt is coming down under Obama as the economy improves

        • cubanbob

          Wow! The debt is coming down? Who knew?

  • Sammy

    “The sooner blues come to terms with this reality, the greater chance other cities will have of avoiding Detroit’s fate.”

    I think they won’t– because they can’t. They blue model is their identity and reason for being. Willful blindness and a preference for perception over reality are primary characteristics of the leftist.

    • bpuharic

      And the right prefers talk radio bullet points to reality. It doesn’t matter how many time the red model fails, it’ MUST be right because…well because.

      • bannedforselfcensorship

        A Red Model failure would have to be a city or state that spent so little on welfare and public employee unions that everyone left the city and it went bankrupt…show me an example. Bankruptcy will almost always be caused by over-spending.

        • bpuharic

          A red model failure is where we transfer SO much money to the 1 percent that the country goes bankrupt

          As happened in 2007

          You wanted an example? There it is.

          • cubanbob

            Transfer whose money? Certainly not yours.

          • bpuharic

            TARP wasn’t backstopped by tax dollars? Who knew!

            Oh…I forgot…to the right wing everything the middle class owns actually belongs to the 1 percent

          • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

            TARP was a drop in the bucket, compared to the ineffective and inefficient spending at all levels of government encouraged by the Blue Social Mode … and lets not forget, the crisis in 2007 was exacerbated by energy-price spikes that would not have been as severe, had we been developing domestic energy production instead of sacrificing that to the Climate Change Cult.

            But do you know how the 1% got so much more than the middle class?

            The middle class was ENCOURAGED over the years to not exercise personal initiative to better their lot, and instead leave a lot of that money on the table and trust Progressives and their Blue Social Model to solve their problems and secure their future FOR them.

            Worked out real well for Detroit, public-sector and private-sector alike … didn’t it? /sarc

            Those who didn’t buy into that, got more … unfortunately, the Blue Social Model also encourages crony capitalism that exploits others’ dependence upon the Blue Model to enrich themselves.

            Progressives OWN this malaise..

          • bpuharic

            To the right wing, spending on the middle class is, by definition, inefficient, whereas billions used tor welfare for the 1 percent is money well spent.

            The GOP ran the country prior to 2007. They could have enacted whatever they wanted. Instead we spent money on war and tax cuts for the rich

            Conservatives blew up the deficit with the war in Iraq and tax cuts

            THOSE were the biggest contributors to the debt

            And your hatred for the middle ciass is typically conservative. We bail out the rich. We lose our jobs. We lose our health insurance

            and right winers say it’s all our fault

            RIght wingers OWN this collapse

          • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

            And those tax cuts created the highest levels of government revenue in history.

            Those wars prevented sequels to 9/11 and its trillion-dollar hit on the economy.

            But let me remind you …

            Progressives opened the door to sub-prime lending in the 1990’s.

            Progressives supported “socializing the losses” through Fannie and Freddie,

            Progressives obstructed the attempts to shut that door in the Bush years (no, they couldn’t do “anything they wanted’).

            Progressives established and defended the restrictions on domestic energy production that exacerbated the crash.

            Progressives favored their UAW political allies over salaried employees and bondholders in the GM/Chrysler bailouts.

            Progressives told us that unemployment would be back to 2005 levels by now if we passed the Porkulus. It isn’t.

            I could go on … but it is clear: your highly-credentialed Best and Brightest – created the conditions – exacerbated the conditions – and perpetuated the conditions for this malaise.

            Take your simplistic, myopic, broad brush elsewhere … Progressives OWN this malaise.

          • CBDenver

            I’ve got news for you — the country has been bankrupt since long before 2007. That is what the deficit, debt, and long-term unfunded liability is all about — national bankruptcy. 2007 is just when it all came to a head.

      • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

        The red model does not fail, until its operators adopt Progressive big-government policies, thinking they are “compassionate” and/or good if the “right” people are in charge.

        As long as decision-making authority and resources are kept in the hands of the 300 million problem-solvers in this nation, and not in the Cult of the Credentialed and Connected Omniscient that you bow down to again and again, people will succeed on the basis of their own initiative, because they will not be dependent upon your Cult to solve their problems and secure their future FOR them.

        Detroit is the poster child for just such Progressive-conditioned dependence.

        • bpuharic

          You mean there WASN’T a recession in 2007?

          I bet you use mirrors

          And no one knows what your obsession is with ‘credentialed’, etc. You keep babbling about that like a bag lady muttering about her tin foil and the CIA.

          You guys blew up the economy with your supply side greed in 2007. Unions had zip to do with it

          • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

            Progressives opened the door to sub-prime lending in the 1990’s.

            Progressives supported “socializing the losses” through Fannie and Freddie,

            Progressives obstructed the attempts to shut that door in the Bush years.

            Progressives established and defended the restrictions on domestic energy production that exacerbated the crash.

            Progressives favored their UAW political allies over salaried employees and bondholders in the GM/Chrysler bailouts.

            Progressives told us that unemployment would be back to 2005 levels by now if we passed the Porkulus. It isn’t.

            I could go on … but it is clear: your highly-credentialed Best and Brightest – created the conditions – exacerbated the conditions – and perpetuated the conditions for this malaise.

            The Republicans are only on the hook, to the degree they went along with you … even all the financial chicanery was developed to support your “social justice” objectives AND make a buck, part of which could be donated by those like Chris Dodd’s friend “Angelo” to Progressive politicians.

            Progressives OWN this malaise.

  • Nathan Zebrowski

    I don’t get it. This post just seems like a giant non-sequitur. I’m not a regular reader of this blog, but what is the “blue social model?” How can it possibly be responsible for sustained financial mismanagement and corruption? I am guessing that “blue” means one thing in Michigan and something else in, say, Oregon.

    Corruption and financial mismanagement are hardly a party issue. The pressures to mismanage are ubiquitous. Surely, we can come up with better law, law that prevents cities or other entities from failing to pay into or wrongly taking money out of pension funds.

    • Andrew Allison

      With the very greatest respect, a search of the blog archives would answer your question.

    • Corlyss

      On the ViaMeadia home page, just above the links to his books, there’s Categories with a drop-down menu just below. Click on it and you will see a subject link for “Blue Social Model” Click on that and it will aggregate all the article by VM and team on the subject. Mead’s posts from a couple of years ago lay out in more detail what constitutes the Blue Social Model, how it arose, who was invested in it, what kind of consensus it generated, in more detail than those of, say, 2012 and 2013. The earlier you start the better you’ll understand what he’s talking about.

    • shoemama

      Detroit has always been a drain to the State of Michigan. Even when they were flying high, most of the money went there. They are a huge Union City and everything they did was super expensive: all at taxpayer cost, of course. Wages, pensions, benefits and even infrastructure. If you look at a map of Michigan, you’ll notice that all roads lead to Detroit. Stadiums, symphony halls, convention centers, and museums were all over the top and heavily subsidized by government.
      The auto industry and supporting industries was what everything revolved around. Management didn’t really care about what the Unions demanded…..they just jacked up the price of all those cars. Until the rest of the world became competitive and actually made BETTER cars than they did, they could get away with anything.
      The Democrats had full control over local government. With all the money flowing around, local officials wanted their cut, too. Bribes became common. Nobody cared. Even Lansing cooperated. Because of the number of people in the Detroit area, their representatives held a lot of influence.
      The worst part is that they thought they deserved it.
      Thirty, forty years ago, (oil embargo) it started to become apparent that Detroit was on an unsustainable track. Were they willing to cut back? Absolutely NOT! NO,NO,NO!!!
      Well, now the house of cards is falling down. The City council and the Unions STILL refuse to cut back.
      Governor Snyder assigned an Emergency Manager (a Black gentleman for the mostly Black city), amid howls of protest. No one was willing to negotiate, so bankruptcy is the only option left.

  • d1stewart

    Right in the holster, ready to whip out, is the leftist excuse: “It wasn’t the blue model. It was racist whites fleeing the city, and incompetent businessmen ruining an industry. In other words, Republicans did this to Detroit.”

    • http://nomayo.mu.nu Stephen_Macklin

      They may be right that people and industries leaving did contribute to Detroit’s downfall. However, they will NEVER ask the question of why those people and businesses left in the first place.

  • Historybuff

    What could obama offer? Nothing… but more of the same beliefs that destroyed Detroit.

    Sorry, but Detroit is “the end of the line” result for liberal policies and beliefs. This is why democratic party liberalism is a dead cult.
    HB

    • bpuharic

      And yet the right tells us that if we follow their policies we can continue the successes that led to the economic collapse of 2007. The rich did fine. THe middle class not so much

      What’s not to like?

      • cubanbob

        If only today’s economy was as good as the 2007 economy.

        • bpuharic

          Actually this is a bit of honesty from the right wing

          In the 2007 recession, the economy contracted by 9 in the 3Q of 2009. We were losing 800,000 jobs a month. THe rich were dong fine

          He’s happy with that.

          • Banned_by_KBTX

            We now have the worst economy since the Great Depression. In 2007 we had higher employment than we do now, We had a far lower deficit in 2007 than we do now. In 2007 we had lower taxes than we do today. We had health care choice in 2007, which ObamaCare is obliterating. And in 2007 al Qaeda was far weaker than it is today.

            But keep throwing your childish tantrums to avoid owning up to your lies and errors. Maybe if you try holding your breath….

          • bpuharic

            When Obama took office we were losing 800,000 jobs a month. On inauguration day.

            Go ahead. Blame him for Pearl Harbor while you’re at it. It’s what the right does.

            Obama killed Bin Laden…Bush let him escape.

            The right killed 4400 US troops and cost 2 trillion in Iraq, which is the largest component of the deficit

            Failure after failure. But the rich got richer.

            To the right wing that’s a success

          • cubanbob

            What happened to The Good War in Afghanistan? Hey the democrats killed over 100,000 between Korea and Vietnam. And in todays dollars, how much did they cost? And the 45 year War On Poverty, how many trillions have taxpayers wasted on the?

          • cubanbob

            Recessions happen. The laws of of economics haven’t been repealed. We also had one in 2000 but you forgot about that. What counts are the policies in place that exaberate recessions, cause credit fuled speculation booms and retard recoveries. All of those maladies are the result of liberal policies. Speaking of the 2007 recession, according to economists incliding bama’s guy Goolsbee the recession ended in January 2009. Now maybe it’s coincidental but guess what party to over the legislative branch in the 2006 election.

      • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

        You mean the PROGRESSIVE housing/finance/energy policies that created that perfect storm?

        Face it parrot … you Progressives OWN this malaise.

        • bpuharic

          Ritchie, courtesy of Rush (PBUH), thinks George Bush and the GOP congress were progressives.

          You can already see the rewriting of history taking place before your eyes.

          • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

            I have to admit, y’all do a good job selling your foolishness as “moral” and “compassionate” … and sometimes even Republicans fall for it.

            But let me remind you …

            Progressives opened the door to sub-prime lending in the 1990’s.

            Progressives supported “socializing the losses” through Fannie and Freddie,

            Progressives obstructed the attempts to shut that door in the Bush years.

            Progressives established and defended the restrictions on domestic energy production that exacerbated the crash.

            Progressives favored their UAW political allies over salaried employees and bondholders in the GM/Chrysler bailouts.

            Progressives told us that unemployment would be back to 2005 levels by now if we passed the Porkulus. It isn’t.

            I could go on … but it is clear: your highly-credentialed Best and Brightest – created the conditions – exacerbated the conditions – and perpetuated the conditions for this malaise.

            The Republicans are only on the hook, to the degree they went along with you … even all the financial chicanery was developed to support your “social justice” objectives AND make a buck, part of which could be donated by those like Chris Dodd’s friend “Angelo” to Progressive politicians.

    • Jim__L

      Good to see you again, HB. How are things on RCP these days?

      • Historybuff

        RCP is well – my favorite hangout for both sides of issues!

        You have some good comments.
        HB

  • thesafesurfer

    I do not agree that the public employees are innocent. They negotiated fantastic compensation packages, pensions, and lifetime medical for themselves and their entire families that were clearly fiscally unsustainable and contributed directly to the debt that bankrupted the city. These pensions and benefits should go through bankruptcy court just like every other creditor.

    It’s about time the nation learned about the consequences of the corruption of politicians by the political machines of public employee unions. The citizens of California are getting this education first-hand in San Bernadino, Stockton, Visalia, and Mammoth.

    • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

      Again not enough … expose the people who led them to embrace the failed Blue Social Model, so that others will not make the same errors.

  • Faceless Commenter

    For once, I agree with Obama. I’d tell ’em to drop dead, too. Bailing them out would be pouring money down a rathole. Put them into receivership, kill the unions, pay the pensioners 25 cents on the dollar, and pay NOTHING to any able-bodied male until he’s put in a day of hauling, raking, or manning a wrecking ball.

    • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

      Not enough.

      Expose the miscreants who led these people to put their trust – with no effective work-around if it failed – in government to secure their future for them.

      They are easy to identify … these miscreants call themselves Progressives.

  • restoreliberty

    WOW, you mean other people’s money can run out????? Obviously this is “news” to the enlightened minds of the retrogressive gimme gimmies.

  • deathmerchant

    “not even a liberal Democratic administration will step in to save the pensions” Would you by any chance mean the American taxpayer?? I’m sure the liberal Democratic administration couldn’t come up with more than $25K between all of them. Why would the American taxpayers owe them anything?? Sounds like more socialist BS.

    • bpuharic

      Funny how liberals won’t ‘save’ Detroit but the right wing DID find TRILLIONS to bail out the rich on Wall Street with TARP.

      • Scott Walker

        This is sad stuff, sir. Bipartisan majorities of both houses of Congress passed TARP. Only a loon could blame that on The Right.

        • Jim__L

          And haven’t at least some TARP assets been unwound at a profit to gov’t? The end cost of TARP is not going to be trillions. (Mostly because the start cost of TARP was never trillions.)

          That said, I’m not thrilled with the bank bailouts either. I think that we should at least have re-imposed Glass-Steagall and broken up any bank rated “too big to fail”.

          But that’s not what the Democrats did, despite the overwhelming power they wielded in 2009.

          They didn’t even try.

          • bpuharic

            ANd who filibustered any attempt to rempose banking regs?

            Cosnervatives…govt regulation you know

      • Banned_by_KBTX

        Didn’t stop Obama from using Wall Street to finance his campaigns.

        • bpuharic

          Correct. The GOP has written the campaign funding laws so we have 1 dollar 1 vote.

          • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

            As opposed to the money-laundering operation between the Democrats and public-sector unions, combined with the cozy-crony relationships they have with private-sector unions and Wall Street … that seriously favor incumbents and the status quo?

            Phuleeze … this is even below parrot standards.

      • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

        And they tried to bail out public-sector unions and state governments through the Porkulus … at least TARP did most of what it said it would do; the Porkulus, OTOH, appears to be a waste if I look at places like California, Illinois, and now Detroit.

        • bpuharic

          THe red model just cost trillions of dollars and millions of jobs. No blue model has achieved the level of failure the red model has

          And yet conservatives love it.

          • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

            No, what cost those dollars and jobs is trying to use the structures of the red model, to further the Progressive agenda and establish their unsustainable version of the Blue Model.

            And, given that Progressive-inspired interventions, from the Great Society to “green energy” as defined by the Climate Change Cult, have added little in value but much to the national debt … and the stagflation of the 1970’s that was just as bad as today’s malaise, despite command-economy-style government intervention … I think the case can be made that the Progressive version of the Blue Model has been worse for the nation than supply-side/free-enterprise economics.

      • cubanbob

        Liberals saved themselves when they bailed out their retirement plans and bank accounts. Detroit isn’t worth saving. There isn’t anything there to save. That’s why liberals aren’t saving it. They are holding back to save cities that are more important to them, namely the ones they live in.

    • Jim__L

      Liberal Democrats tend not to like performing charity with their own money.

      Even sociological “studies” can’t paper over that fact.

      • bpuharic

        The right thinks the greatest civil rights battle in history is the one to free billionaires from oppression by the middle class

  • http://fb.me/MrMikeDavis Mike Davis

    It’s the platinum government-employee pensions. If Uncle Sam bails out Detroit, a dozen bankrupt California cities will be soon to follow.

  • RichardU

    I think progressives will just blame the ability of people to freely leave Detroit for cities where less money is stolen through taxes. If only people could not leave when Democrats start stealing their money, all problems would surely be solved and the progressive utopia would finally materialize.

    What we really need is the public to recognize what the progressive utopia is (no soda, no sugar, no vaccines, no fossil fuels, etc.) and decide they prefer freedom.

    • bpuharic

      How’d that whole right wing freedom thing work out when the right, in 2007, destroyed the economy via supply side economics, and millions lost their houses, their jobs and their health insurance

      Great example of freedom!

      • Black JEM

        That is just a stupid comment. Give it up. The left model doesn’t work – and has zero historical examples of doing so. The money is running out – no more vote buying is possible without serious consequences. Both parties need to have that ingrained on their brain. Maybe the GOP can get there – maybe. The dems have no hope, for when you believe in nothing but power and manipulating grievance groups, you are as bankrupt as any major leftwing city.

        • bpuharic

          Responsible financial regulation doesn’t work?

          Funny that between the passing of Glass Steagall and its rescinding we had precisely

          zero

          financial sector caused depression in this country. AFTER the right repealed it, it took 10 years for us to have the deepest crisis in history since the 29 crash.

          The right engineered a massive takeover of our economy by the 1 percent while bankrupting the middle class. That’s what they call success.

          • cubanbob

            Clinton repealed the act. Blame him.

          • Scott Walker

            You do know that Bill Clinton signed the repeal of Glass-Steagall, don’t you? After a majority of Dem voted for said repeal? Are Bill and the Dems in Congress also part of the scary Right? Ride your hobby horse, but take off your blinders.

          • Jim__L

            So why didn’t the solution involve re-imposing Glass-Steagall? (Democrats controlled more than enough of the government post-2008 to make that happen.)
            I think you could find a lot more support for that, (both from voters and from reality) than most of your other assertions here.

          • bpuharic

            The dems controlled the senate for a grand total of 7 months. They lost the house the following year

            And the GOP has fought any banking regulation at all.

          • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

            Now who’s rewriting history, parrot?

            Back during the Bush Administration, they tried to reform the regulations … and were obstructed by Progressives like Barney Frank and Chris Dodd.

            And they didn’t even try to re-institute Glass-Steagall when they had the Congress from 2006 to 2009 – they had the Senate for two more years than you state.

            They didn’t try, because they wanted something more along the line of Elizabeth Warren’s profit-phobic Utopian fantasy than Glass-Steagall. At least they were limited to passing Dodd-Frank, which is bad enough.

          • cubanbob

            Clinton repealed Glass-Steagal and no every recession sine WW2 was a financial sector induced recession caused by Fed policies.

      • Dungeonmaster Jim

        That was the Democratic Congress in charge then and Fannie and Freddie were their sacred cows. The GOP tried repeatedly to defuse those bombs, but Frank and other Friends of Angelo prevented them.

  • Martin Weiss

    Obama doesn’t need their votes anymore. So bye bye Detroit.

    • M_Becker

      They’ll vote for him anyway.

  • RLinAZ

    See Detroit pander to liberal special interest groups, corruption, unions and political profiteers.
    See Detroit go bankrupt.
    See California pander to liberal special interest groups, corruption, unions and political profiteers.
    See California go bankrupt.
    See the US Government pander to ALL special interest groups, corruption, unions and political profiteers.
    See the US Government go bankrupt.
    I don’t have a PHD in economics but even I can read economic trends and patterns.

  • RLinAZ

    See Detroit capitulate to cronyism, corruption, unions, liberal special interest groups and political profiteers.

    See Detroit go bankrupt.

    See California capitulate to cronyism, corruption, unions, liberal special interest groups and political profiteers.

    See California go bankrupt.

    See the US government capitulate to cronyism, corruption, unions, ALL special interest groups and political profiteers.

    See the US government go bankrupt.

    I don’t have a PHD in Economics but even I can read economic trends and patterns.

    • bpuharic

      The US, of course, went bankrupt in 2007 under a right wing govt. Unions had zip to do with it. It was Wall Street that destroyed TRILLIONS in equity. The perilous nature of the states is secondary to that.

      But never let the right be deterred by facts.

      • Black JEM

        Nah – the govt didn’t go bankrupt – and their finances have deteriorated further during Obama’s presidency and another almost $5T in debt. And the 2007 meltdown was due to govt policy – democrat and GOP – who thought owning a home was a right, not a privilige – the GOP wanting everyone to own a home – and the democrats wanting everyone whether they could afford it or not to own a home. Neither party is a beacon of sound financial management. The sequester actually has been more effective than anything else.

        • bpuharic

          As the Reinhart and Rogoff study showed, financial sector recoveries tend to be slower than others because the damage is so great. Obama’s last budget has a smaller deficit than Bush’s did and if you knew ANYTHING about economics you’d know that deficits ALWAYS increase in a recession.

          Home ownership had little to do with the depression. Credit default swaps did. THey ballooned by 20,000 percent in 10 years.

          But the ‘home ownership’ motif is just another way to wage class warfare against the middle class while rewriting history to exculpate Wall Street.

          • Black JEM

            It is what occurred – under Obama wealth is concentrating in the already wealthy and well connected – see Obama’s golf partners. The economy is not expanding fast enough (some measures would suggest in real terms the economy is shrinking but I realize no “official metric” would necessarily show that right now) to allow more people to share in dividing up the money pie. The only reason Obama’s budget deficit shrunk is that the GOP squashed his budget by agreeing to his sequester terms – which he then squealed about. His prior 4 deficits were record setting. I understand very well how govt signals created the housing bubble and the beauty of the motgage asset backed deriviative scheme that hit the entire banking industry pretty hard. That was primarily an Obama philosophy (CRA, etc) but also in response to the GOP’s desire to promote home ownership. WE can see what happened. Every sector the govt is intimately close with is struggling – health care, education, transportation (city, state). All in a mess.

          • bpuharic

            Le’ts not scare JEM by telling him that, for the last 30 years, the middle class has had a ZERO percent change in income while the wealhtiest 1 percent have had theirs

            triple.

            30 years of right wing supply side economics gave the middle class literally nothing while giving the 1 percent and enormous amount of income

            And LET foreign banks assume that risk. They want to gamble with their people’s money? Let them.

            I’m tired of paying for the wealthy to treat the middle class like a piggy bank.

            You simply don’t know enough about economics to comment on the deficit, sorry.

            Deficits always increase in a recession. Fact. Financial sector recoveries are slower than others. Fact.

            But you have your talk radio bullet points which provide cover for Wall street. And that’s a fact, too.

          • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

            And why didn’t the middle class do as well as you would like?

            Not because of supply-side economics – because Progressives kept pushing the Blue Social Model and discouraged millions from exercising the initiative it takes to build on the opportunities supply-side economics provides.

            Middle-class people like myself, who didn’t buy into the Blue Model and exercised our initiative, did get ahead through supply-side economics.

            You, however, have your MoveOn talking points to use in your never-ending quest to marginalize conservatives in the hope of creating your Gottrein Utopia. You see, I understand your true motivation, parrot.

          • cubanbob

            Sure. In the alternative universe you live in that might be true but not in this universe. Now who put the full faith and credit of the US on the line guaranteeing every liar loan, no down payment loan and CRA induced loan. Hint: it wasn’t the republicans.

          • cubanbob

            You forgot the Clinton-Gore recession of 2000. A stock market bubble that burst which was caused by the the fed. Just like the housing crises. Just like the fed is doing now with another stock market bubble.

      • RLinAZ

        No you certainly wouldn’t let the facts get in the way of the truth you liberal loon. No mater what the consequences are of your ideology you keep marching along to the same stupid lies.

        • bpuharic

          No rebuttal. No facts. No argument. This is what the right wing does.

          • Banned_by_KBTX

            Detroit is the evidence. And you ignore it. Grow up.

          • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

            Parrotage, mixed with strained gnats … it’s what Progressives deliver …

            … wanna cracker?

      • cubanbob

        And every bank that failed was a regulated bank. And all of the Wall Street scandals were there for the SEC to see.

      • Jim__L

        The “trillions in equity” was a bubble. Not real money, not real wealth. Short of a 250m asteroid strike, there is no way to destroy that much real wealth in that short a period of time.

      • Banned_by_KBTX

        The US went bankrupt in 2007? Really? In which court did the bankruptcy proceeding take place?

  • I BarKahn

    Another Obama insufficiency for Mead to opine upon; Obama’s maladministration is a gift for Mead, a guaranteed flow of outrageous, reader-rousing, constitutional assaults, increased circulation, increased on-line hits, increased cash flow, increased invitations to speak, dine, and party. Mead closes his eyes, stops his ears, while Obama, committing personal and constitutional crimes on the way, marches on course and on time to this nation’s ruin.

    Reader, Meade assumed the role of political and moral authority; he had an affirmative obligation to protect you, his Conservative follower, from the machinations of the Democrat Party. Instead, Mead participates in the self-imposed Conservative media blackout of any mention–let alone any discussion–of Obama’s constitutional ineligibility, his use of an alias, his fraudulent birth certificate, Social Security number and Selective Service Card–any or all of which are grounds for Obama’s removal. Mead lets this retrograde, Islamist sympathizing thief, rifle your pockets and steal your liberties.
    Mead’s selfish cowardice is an indelible stain on his profession and a capitulation to–and collaboration with–an illegal, corrupt, anti-democratic regime. Why should you keep reading Mead? Hands.

    • bpuharic

      Don’t forget his arrival in a UFO at area fifty one….

      • I BarKahn

        I take it, then, that you’re familiar with the entire UFO landing area.

  • andrewp111

    What could Obama do to bail them out anyway? TARP no longer exists, so he can’t pull the trick he did with GM and Chrysler. So what can he do without the House of Representatives?

    • Black JEM

      Fair point. And besides – it would be good money wasted. So I am glad he didn’t try. Detroit will need to hit rock bottom – and it sounds as if they aren’t quite there yet. Too bad.

  • pnkearns

    The truly scary item is that the vast majority of Detroit voters will vote to install yet another corrupt Democrat government after all this mess is settled. Detroit needs to be liquidated in bankruptcy, not revived.

  • SouthOhioGipper

    What cracks me up progressives refuse give up. There was an article in Salon wishing instead that all those racist white suburbs should be forcibly incorporated into the city and their property taxes stolen for use by the city.

  • teapartydoc

    Look for the union label…

  • cubanbob

    Obama’s failure to even bring a bailout of Detroit to the table is simply a tacit admission that the US Government has a credit limit. If Detroit were to be bailed out then every city, county and state in a jam would be asking to be bailed out and the government knows it can’t raise the funds to bail them all out.

    Just as GM became a retirement and health plan making cars as a sideline Detroit became a public sector employee pension and health plan providing municipal services as a sideline. Both were unsustainable. As the economist Herb Stein once said “when something can’t go on, it won’t”.

    Detroit didn’t get to where it is overnight. It wasn’t unexpected. It was however inevitable. The unions demanded more. The politicians gave them more nevermind the fact that the City couldn’t over time could not cash those checks. There is a lesson here for politicians, union rank and file and taxpayers and lenders but will they learn it?

    • bpuharic

      THe right rants at unions for bankrupting a city.

      WHen Wall Street bankrupts a country, we’re told by the right that we should glorify the rich (Paul Ryan).

      More right wing class warfare

      • cubanbob

        Wall Street finding bankrupt the country. Government policies and failure to regulate according to the laws in place at the time caused the failure. Incidentally not for nothing that Wall Streeters overwhelmingly donate to Democrats. Crony capitalism at its finest.

        • bpuharic

          Incidentally you’re wrong. WS donated far more to Romney than to Obama.

          And there were no laws in place.If there had been, the shady dealing, the TBTF, etc. would not have been possible

      • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

        Progressives OWN the mess in Detroit, parrot, and you can’t deny it.

        And they own the mess on Wall Street too, because it was their concepts of “social justice” and crony capitalism that greased the wheels for it.

        Progressive governance is UNSUSTAINABLE. Deal with it.

        • exodus2011

          wish it was possible to overload this post with upticks

          ^5!

        • bpuharic

          You’re saying Bush was a progressive?

          You can see the right rewriting history before your very eyes.

          And it was supply side economics that caused the US to collapse. You guys did that.

          • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

            Let me remind you …

            Progressives opened the door to sub-prime lending in the 1990’s.

            Progressives supported “socializing the losses” through Fannie and Freddie,

            Progressives obstructed the attempts to shut that door in the Bush years … and when they had control of Congress, established regulations more in line with their prejudice against the productive than with protective prudence.

            Progressives established and defended the restrictions on domestic energy production that exacerbated the crash.

            Progressives favored their UAW political allies over salaried employees and bondholders in the GM/Chrysler bailouts.

            Progressives told us that unemployment would be back to 2005 levels by now if we passed the Porkulus. It isn’t.

            I could go on … but it is clear: your highly-credentialed Best and Brightest – created the conditions – exacerbated the conditions – and perpetuated the conditions for this malaise.

      • Banned_by_KBTX

        Ah, yes: that explains why Obama and Democrats got most of the Wall Street money in 2008 and 2012. A sinister Republican plot.

        • bpuharic

          Well nice to see you’re a liar.

          Obama got more WS money than McCain did.

          Romney is a Wall STreet banker. WS gave him more money than they did Obama.

          • VivaSam

            bpuharic….I think you better go back and check your data…..Obama got more donations than Romney from both Wall Street and Big Pharma.

          • bpuharic

            That was true in 2008. It was NOT true in 2012.

      • cubanbob

        Thats not a rant. It’s the truth but you can’t handle the truth. Incidentally those grossly underfunded public pensions are invested in guess what? Wall Street.

      • BozoerRebbe

        90% of the City of Detroit’s debt is owed to union members. Now try to tell us again that it’s rich who bankrupted Detroit.

  • iconoclast

    Why would anyone live in Detroit? My experiences with Detroit in the 90’s evoked images of “Escape from New York”, except the actors in the movie were better dressed.

    Pension funds are now trying to force the State of Michigan to pay for their broken pension funds, as if the rest of Michigan is responsible for the corruption and graft in Detroit that led the city to this end.

    • M_Becker

      Many of the cities in MI are in the same shape as Detroit. See Flint for starters, they’ll probably be on the BK court steps shortly after Orr’s petition is accepted.

    • VivaSam

      Go watch RoboCop. That one pretty much was filmed in Detroit, exactly becuase Detroit looked that crappy even back then@!

      • iconoclast

        I visited Detroit several times in the late 80’s and 90’s. It was like a post-apocalyptic movie. I half expected mutants to come and start eating us.

        There is no cure for Detroit short of transferring half the population and virtually all of the city bureaucrats.

  • M. Report

    Unfortunately accurate title; The neglected
    infrastructure of Detroit is ripe for the civic
    equivalent of a heart attack.

    • Dungeonmaster Jim

      It’s a ref to a classic NY Daily News headline.

  • Michael Ian Wright

    Run a welfare system designed to breed rats, run your local government employment as an extension of the welfare system. The recipe for cooking up a Detroit. Now watch as the black hole you just created, swallows Michigan.

  • Goldenah

    Imagine that if ambitious groups of creative and entrepreneurial US Citizens and legal immigrants came in to revitalize Detroit – it is possible. However, the people who currently hold the power there, and ensuring the city’s continuing demise, do not want to let go or change their mindset.

    NYC was a bankrupt mess at one point and they turned it around. It also turns out they had to hand the reins over to a responsible and no-nonsense Republican like Rudy Giuliani.

    Plus, plenty of towns and smaller cities across the country have declined and disappeared over time. That’s a natural cycle everywhere. Detroit should shrink accordingly; give up the land around them and convince people to move closer to the center.

    The good ol’ days aren’t coming back.

    • Andrew Allison

      Here’s a thought: put the unemployed of Detroit to work (at market, not union rates) leveling those parts of the city which have been abandoned, then apply their newly learned skills to rebuilding it.

  • Tj707

    How many of those 20,000 retirees actually live in Detroit?

    • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

      Doesn’t matter where they live now … the pensions they were LED BY PROGRESSIVES to count on for their retirement are being gutted.

      • bpuharic

        THe right gutted unions. As a result the middle class has no pensions. Few middle class people, after 30 years of zero percent increases, can afford to retire

        But the 1 percent saw their incomes triple. To the right wing that’s a success

        • https://www.facebook.com/ritchietheriveter Ritchie The Riveter

          Union greed gutted unions.

          What fed that greed was keeping the rank-and-file ignorant about their individual responsibilities to secure their own future, for having them put their trust in union pensions to secure their future kept them in as dues-paying members … and also discouraging them from exercising the initiative to make their companies work better.

          Even when, as we have seen in the auto industry, union stubbornness and management incompetence eroded the foundation for the future of the rank-and-file.

          The Progressive deception of a “working class” that is absolved of responsibility for “thinking like businessmen” themselves and exercising their own initiative to secure their future, has hurt far more people than the “right-wing” ever has.

          The 1%, along with millions of others, took the initiative to secure their present and their future — and all but a few, did so honestly. They are in a far better position than those you and your fellow Progressives have deceived.

  • teapartydoc

    But, but, but…Sweden! So there!

    • cubanbob

      Sweden actually is more business friendly than the US.

  • Mario Leli

    it is unbelievable people making excuses for communist public unions. a police chief retired here and got $469,000 dollar check for sick and vacation days plus 189,000 pension. unions and welfare parasites are 2 sides of the coin and together = bankruptcy

  • OldmanRick

    Hide and watch. It ain’t over. In fact the push for bailout has already started with the idea that Detroit is important within the framework of National security. Seems it is a major thoroughfare for imports and visitors or some such stuff, and for those reasons important to the security of the nation. Once the specter of national security is raised the administration can step in to “assist”(bailout) the “stricken” city.

    May I be wrong; for, if this argument succeeds, NYC, Chicago, and the State of CA – all dim strongholds – are eligible for “assistance”.

    You say this can’t happen cause the house will deny the funds. National security is the catch phrase and overrides all.

    Even Valarie Jarrett – the real boss in the witless house – knows that, if these cities and state fail, they could lose millions of gimmedat voters in 14 and 16. And the Marxists can’t allow this to happen.

  • VivaSam

    11 billion in UNSECURED debt?
    Well, there’s your solution.
    Dont pay it.
    Wadya gonna do?

  • VivaSam

    Detroit isnt about to roll over and die.
    It actually has a lot of positives working for it.
    But its gonna have to shift its way of thinking.
    As long as the Black Community continues to declare war on the Evil White Oppressors, they will just continue to make things worse.
    They are gonna hafta suck it up and WELCOME whitey back into the city.
    WELCOME WHITEY.
    Its not like blacks and whites havent been living in the same city for over 300 years!!
    Dang. dont be stupid. We know all about each other.
    Detroit is a border town. Goods and Services cross from USA to Canada right there at the Windsor Bridge.
    Its a major shipping hub on the Great Lakes.
    Gotta break free of the dependence on Federal Micromanagement.
    come up with your own solutions.

    • bpuharic

      All the darkies’ fault, eh? Has nothing to do with the billions in subsidies the city and state gave to sports arenas, big businesses, etc?

      Nah…those billions went to rich white people. And they’re infallible.

  • bpuharic

    David Sirota just had an interesting article in “Salon” about the right wing campaign against Detroit

    Turns out the city’s lost over 120,000 jobs due to NAFTA and other trade agreements

    The state has underfunded pensions due to massive tax expenditures on billion dollar businesses.

    But hey…let’s blame the middle class. It’s so much fun

© The American Interest LLC 2005-2016 About Us Masthead Submissions Advertise Customer Service