The city of Stockton, California stated that it will file for bankruptcy protection under federal laws. Sanityandsense.com finds the only thing surprising about this event is that some individuals are surprised.
Sanityandsense.com found that twenty-seven state governments are in such serious economic trouble that the U.S. Congress should act to keep these states from issuing additional bonds to pay off present debt. The practice of issuing additional debt to pay off present debt is not a sane or sensible economic plan and is clearly a violation of the law. States are not legally allowed to engage in deficit financing like the U.S. Government. However, the law is clearly not obeyed.
Sanityandsense.com believes that 2013, will be a year of bankruptcy for a number of city, county, and state governments across the U.S. The only individuals who will express surprise will be the members of the U.S. Congress who have failed to follow U.S. law for years.
R. Van Conoley