California is a lot like Axl Rose: it used to have amazing mojo and unlimited potential, but now it is just bloated and pathetic and waiting to die.
Our friend Leslie Eastman writes at Legal Insurrection on California's massive debt and the high-speed rail epic boondoggle:
In 2008, after millions of dollars in advertising, Californians were persuaded to pass Proposition 1A and provide $9.95 billion in bond seed money for the high speed bullet train, despite the fact was no hard evidence supporting any the claims made about ridership, pollution reduction, or job creation — and apparently forgetting the interest ($9.5 billion) costs of the bonds. Furthermore, the realities of construction have tripled the initial cost estimates and the first train won’t be running until 2033.It's not just the high-speed train to nowhere. Municipalities and school districts are piling up billions in debt, all so they can keep spending recklessly today and leave the bill to the next generation.
Why are you worried about any California debt? It will never be paid. Except by the idiots buying municipal bonds.
Guns N' Roses by the state:
Slash-Virginia. Was awesome, lost it all (civil war, no pun intended), got its mojo back.
Izzy-sobered up, lives the clean life. Utah.
Duff-Washington state. Still putting out decent music (Velvet Revolver) well into this century. Also the last to see Cobain before he (Cobain) died.
drozz, brilliant and spot-on!
IA, indeed. But it carries national significance as well as municipal debt is yet another reason Zimbabwe Ben and his successors will have to choose between systemwide default and dollar devaluation. And it doesn't take a genius to see which they are choosing.
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