Bankrupt?

2009-05-17 22:32:05

#1

ATG: Banned; +5,233|6937|Global Command

47 states face budget shortfalls. http://www.cbpp.org/cms/?fa=view&id=711

Obligations Exceed World Gross Domestic Product (GDP) http://blogs.rapidcityjournal.com/finance/?p=30

Credit Card Crisis as Huge Losses Cause Lending to Stop http://www.marketoracle.co.uk/Article10627.html

Well folks, this appears to be the edge. California expects revenues of 100 billion, but they have a 150 billion budget planned for 2010.

All concerned parties ( excluding politicians ) agree that revenues will be nowhere near 100 billion as layoffs and foreclosures continue. It is carnage; a financial bloodbath. Odds are, California will file for chapter 9 bankruptcy protection. There will be little reason for other states not to do the same.

Not all will; some know that bailout money comes with strings.

This is shaping up to be simply terrible. I wonder if the reason the government has been giving money to banks is because the government will need favors later, knowing what is coming; the collapse of the United States economy.

The writing is on the wall, the mold has been cast.

My question is; what ramifications will there be if California and other states declare bankruptcy?

2009-05-17 22:45:29

#2

Wreckognize: Member; +294|6893

Maybe the government should, you know, try to raise money or something? Create new markets. Oh wait, there are plenty of markets that already exist that the government could tap into if it wasn't pussyfooting around with politically correct bullshit. There's a fortune to be made in drugs, prostitution, and gambling. Change we can believe in? Turns out to be empty campaign rhetoric bullshit. Anyone really surprised ?

2009-05-17 23:08:07

#3

jsnipy: ...; +3,277|6931|...

Its means weed will be made legal in Cali

2009-05-17 23:30:56

#4

Kmar: Truth is my Bitch; +5,695|7009|132 and Bush

jsnipy wrote:
Its means weed will be made legal in Cali

http://www.thedailyshow.com/video/index … on-winners
@1:50

Xbone Stormsurgezz

2009-05-18 00:48:38

#5

Dilbert_X: The X stands for; +1,822|6514|eXtreme to the maX

ATG wrote:
My question is; what ramifications will there be if California and other states declare bankruptcy?

The US will have to come down to earth and Americans will have to start getting used to normal lifestyles.

Fuck Israel

2009-05-18 01:51:13

#6

LividBovine: The Year of the Cow!; +175|6788|MN

Dilbert_X wrote:
ATG wrote:
My question is; what ramifications will there be if California and other states declare bankruptcy?
The US will have to come down to earth and Americans will have to start getting used to normal lifestyles.

Normal according to what? I will keep my 3 cars, house, boat, guns, and everything else I have. So how will my lifestyle become more normal?

If our government hadn't squandered away our nations wealth on social programs we wouldn't be in this mess. I am affraid we have traveled down this socilism trail too far to get back to where we need to be. Too many of us were underinformed about what has been going on in Washington and almost all our state governments. I blame myself as much as anyone else. WE were too trusting of our politicians.

"The President does not have power under the Constitution to unilaterally authorize a military attack in a situation that does not involve stopping an actual or imminent threat to the nation" - Barack Obama (a freshman senator from Illinios)

2009-05-18 02:07:20

#7

unnamednewbie13: Moderator; +2,071|7180|PNW

Dilbert_X wrote:
ATG wrote:
My question is; what ramifications will there be if California and other states declare bankruptcy?
The US will have to come down to earth and Americans will have to start getting used to normal lifestyles.

Up to your ass in undeserved poverty was above normal...

2009-05-18 02:18:13

#8

FEOS: Bellicose Yankee Air Pirate; +1,182|6819|'Murka

ATG wrote:
Well folks, this appears to be the edge. California expects revenues of 100 billion, but they have a 150 billion budget planned for 2010.

My question is; what ramifications will there be if California and other states declare bankruptcy?

The first statement is the problem. Governments shouldn't be allowed to budget for more than their expected revenues. In fact, they shouldn't be allowed to budget for more than 90% of their expected revenues.

Governments don't/can't declare bankruptcy, so it's a nonsensical question.

“Everybody is a genius. But if you judge a fish by its ability to climb a tree, it will live its whole life believing that it is stupid.”
― Albert Einstein
Doing the popular thing is not always right. Doing the right thing is not always popular

2009-05-18 04:44:28

#9

Burwhale: Save the BlobFish!; +136|6631|Brisneyland

FEOS wrote:
The first statement is the problem. Governments shouldn't be allowed to budget for more than their expected revenues. In fact, they shouldn't be allowed to budget for more than 90% of their expected revenues.

On a national level the US actually had a system very similar to the one FEOS mentioned. It was called PAYGO. It was a very admirable system to be honest. The gist of it was that:

WIKI wrote:
The PAYGO or pay-as-you-go rule compels new spending or tax changes to not add to the federal deficit. New proposals must either be "budget neutral" or offset with savings derived from existing funds. [1] The goal of this is to require those in control of the budget to engage in the diligence of prioritizing expenses and exercising fiscal restraint.

Unfortunately George W Bush effectivley watered it down so much as to make it useless so as to allow for greater spending on his Medicare prescription drug program.

Perhaps its time for govts , state and Fed to look at bringing it back.

As for what may happen to California if it goes bankrupt. Probably not too much. Services will diminish. State govt jobs/ contracts will dry up for a while. I have heard of a local council in oz that declared bunkruptcy. The elected councillors were sacked and the beuracracy of the council basically took over the running of the council. This seemed to actually go well as the beuracracy performed the normal functions of the council, without the need for politicians. Not sure if they were allowed to keep that model though.

2009-05-18 05:49:57

#10

Dilbert_X: The X stands for; +1,822|6514|eXtreme to the maX

Lividbovine wrote:
Normal according to what? I will keep my 3 cars, house, boat, guns, and everything else I have. So how will my lifestyle become more normal?

If we take 'normal' as being 'average' by rest of world standards you can say goodbye to your cars and boat for a start.

Fuck Israel

2009-05-18 08:33:05

#11

m3thod: All kiiiiiiiiinds of gainz; +2,197|7080|UK

Man With No Name wrote:
most Americans dont have 3 cars and most Americans really dont have a boat

But of course he was speaking for everyone. Silly you.

Blackbelts are just whitebelts who have never quit.

2009-05-18 08:34:12

#12

m3thod: All kiiiiiiiiinds of gainz; +2,197|7080|UK

LividBovine wrote:
Dilbert_X wrote:
ATG wrote:
My question is; what ramifications will there be if California and other states declare bankruptcy?
The US will have to come down to earth and Americans will have to start getting used to normal lifestyles.
Normal according to what? I will keep my 3 cars, house, boat, guns, and everything else I have. So how will my lifestyle become more normal?

If our government hadn't squandered away our nations wealth on social programs we wouldn't be in this mess. I am affraid we have traveled down this socilism trail too far to get back to where we need to be. Too many of us were underinformed about what has been going on in Washington and almost all our state governments. I blame myself as much as anyone else. WE were too trusting of our politicians.

psssst! Don't forget the whole squandering for war bit while you're playing the blame game.

Blackbelts are just whitebelts who have never quit.

2009-05-18 08:52:15

#13

Man With No Name: جندي; +148|5983|The Wild West

my dream in life is to own a house with a pool and jacuzzi

2009-05-18 09:00:29

#14

13rin: Member; +977|6887

Man With No Name wrote:
my dream in life is to own a house with a pool and jacuzzi

The insurance on homes with a pool sucks. The jacuzzi is doable though.... Now I kinda want one. .

Last edited by DBBrinson1 (2009-05-18 09:01:18)

I stood in line for four hours. They better give me a Wal-Mart gift card, or something. - Rodney Booker, Job Fair attendee.

2009-05-18 10:09:53

#15

lowing: Banned; +1,662|7060|USA

ATG wrote:
47 states face budget shortfalls. http://www.cbpp.org/cms/?fa=view&id=711

Obligations Exceed World Gross Domestic Product (GDP) http://blogs.rapidcityjournal.com/finance/?p=30

Credit Card Crisis as Huge Losses Cause Lending to Stop http://www.marketoracle.co.uk/Article10627.html

Well folks, this appears to be the edge. California expects revenues of 100 billion, but they have a 150 billion budget planned for 2010.

All concerned parties ( excluding politicians ) agree that revenues will be nowhere near 100 billion as layoffs and foreclosures continue. It is carnage; a financial bloodbath. Odds are, California will file for chapter 9 bankruptcy protection. There will be little reason for other states not to do the same.

Not all will; some know that bailout money comes with strings.

This is shaping up to be simply terrible. I wonder if the reason the government has been giving money to banks is because the government will need favors later, knowing what is coming; the collapse of the United States economy.

The writing is on the wall, the mold has been cast.

My question is; what ramifications will there be if California and other states declare bankruptcy?

Hmmm, largest liberal state, first to go bankrupt. Yeah that sounds about right. I guess ya can't build an economy off of peace, love, tolerance, cocaine and pot after all. Nor can you do it by stealing the money from those that earn it.

2009-05-18 10:28:23

#16

S.Lythberg: Mastermind; +429|6855|Chicago, IL

Governor Quinn will be publishing his "doomsday" budget soon for Illinois, we expect massive cuts in education... (who cares about the future when the deadbeats want their states checks now)

2009-05-18 15:40:31

#17

Diesel_dyk: Object in mirror will feel larger than it appears; +178|6402|Truthistan

ATG wrote:
Odds are, California will file for chapter 9 bankruptcy protection. There will be little reason for other states not to do the same.

Not all will; some know that bailout money comes with strings.

My question is; what ramifications will there be if California and other states declare bankruptcy?

Has a state ever declared bankruptcy? I've heard of municipalities/cities declaring bankruptcy but they are incorporated.
I would think that a state would declare 10th Amendment and soveriegn immunity. A state would simply not permit a court to hear a lawsuit against it.

In other words a state could repudiate its debt. But that would wreck havoc on borrowing money or floating a bond issue.

2009-05-18 15:41:45

#18

Man With No Name: جندي; +148|5983|The Wild West

didnt orange county declare bankruptcy before?

2009-05-18 15:45:16

#19

usmarine: Banned; +2,785|7170

Man With No Name wrote:
didnt orange county declare bankruptcy before?

new york city did once

2009-05-18 16:00:49

#20

KEN-JENNINGS: I am all that is MOD!; +2,991|7040|949

usmarine wrote:
Man With No Name wrote:
didnt orange county declare bankruptcy before?
new york city did once

Largest municipal bankruptcy in the history of the US I think, unless some other county recently beat us. Moorlach was the Treasurer that got us into that one.

2009-05-18 17:39:21

#21

Hurricane2k9: Pendulous Sweaty Balls; +1,538|6110|College Park, MD

why does everybody always wanna live in California? I loved the weather and sights when I visited there, but it sounds like the state government does a shittier job than Somalia's

https://static.bf2s.com/files/user/36793/marylandsig.jpg

2009-05-18 17:46:11

#22

KEN-JENNINGS: I am all that is MOD!; +2,991|7040|949

Hurricane2k9 wrote:
why does everybody always wanna live in California? I loved the weather and sights when I visited there, but it sounds like the state government does a shittier job than Somalia's

When's the last time you heard someone say, "I want to move to x place because I've read/heard their state government does a great job"?

2009-05-18 18:17:20

#23

Man With No Name: جندي; +148|5983|The Wild West

Hurricane2k9 wrote:
why does everybody always wanna live in California? I loved the weather and sights when I visited there, but it sounds like the state government does a shittier job than Somalia's

says the guy from D.C.

2009-05-18 18:25:20

#24

nickb64: formerly from OC (it's EXACTLY like on tv)[truth]; +77|6019|Greatest Nation on Earth(USA)

LividBovine wrote:
Dilbert_X wrote:
ATG wrote:
My question is; what ramifications will there be if California and other states declare bankruptcy?
The US will have to come down to earth and Americans will have to start getting used to normal lifestyles.
Normal according to what? I will keep my 3 cars, house, boat, guns, and everything else I have. So how will my lifestyle become more normal?

If our government hadn't squandered away our nations wealth on social programs we wouldn't be in this mess. I am affraid we have traveled down this socilism trail too far to get back to where we need to be. Too many of us were underinformed about what has been going on in Washington and almost all our state governments. I blame myself as much as anyone else. WE were too trusting of our politicians.

It will probably take at least as long as it took to get here, or longer, to completely get out of this mess if we were to start right now. After 4 years of this President, May God help us.

Orange County Bankruptcy: http://www.ppic.org/content/pubs/op/OP_398OP.pdf

Last edited by nickb64 (2009-05-18 18:26:57)

2009-05-18 18:35:37

#25

Flecco: iPod is broken.; +1,048|7073|NT, like Mick Dundee

LividBovine wrote:
WE were too trusting of our politicians.

Everybody listen to this man, he speaks truth.

Whoa... Can't believe these forums are still kicking.

BF2S Forums Bankrupt?

jsnipy wrote:

ATG wrote:

Dilbert_X wrote:

ATG wrote:

Dilbert_X wrote:

ATG wrote:

ATG wrote:

FEOS wrote:

WIKI wrote:

Lividbovine wrote:

Man With No Name wrote:

LividBovine wrote:

Dilbert_X wrote:

ATG wrote:

Man With No Name wrote:

ATG wrote:

ATG wrote:

Man With No Name wrote:

usmarine wrote:

Man With No Name wrote:

Hurricane2k9 wrote:

Hurricane2k9 wrote:

LividBovine wrote:

Dilbert_X wrote:

ATG wrote:

LividBovine wrote:

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