Every month, it spends $600 million more than it collects in taxes. The state is now $15 billion in debt. There's no telling how much worse its financial situation will become, either.

After all, Illinois hasn't had a budget in two years. If it can't put one together by tomorrow, Standard & Poor's will cut its credit rating to "junk." It would become the first state ever with this distinction.

This would have serious implications for the 13 million people living in Illinois. It could trigger a nationwide debt crisis. Doug Casey and I discuss why in the interview below.

Perhaps this brings out a little bit of the quasi-Leninist in me, because Lenin said "the worse it gets, the better it gets." I'd like to see all of the states go bankrupt for the same reasons I said the federal government should default on its debt.