What happens when your state or city has massive unfunded pension liabilities, no direct access to the Fed's money printer and can't tax your state any further because you're driving people out in droves?
Ohio's $16 billion Police & Fire Pension Fund is following in the steps of Warren Buffett and making a big statement about owning gold.
Social Security - Pensions...
Say you're running a big pension fund that according to the politicians who are handing out ultra-generous benefits to public sector employee voters has to generate 7% annual returns in order to meet the resulting obligations.
The depletion would impact many hundreds of thousands of Americans and their retirement, assuming a potential slow recovery for the US stock market.
In 2017, I wrote an article discussing the "Unavoidable Pension Crisis." At that time, most did not understand the risk. However, two years later, the "Unavoidable Pension Crisis" has arrived.
Despite California's $54 billion budget deficit and $1 trillion unfunded pension liability, there are 340,390 government employees bringing home six-figure salary and pension checks. Recently, though, Gov. Gavin Newsom asked U.S. taxpayers for a ba
Illinois State Senate President Don Harmon, through the Illinois congressional delegation, recently requested a $10 billion public pension bailout from the federal government.
But as the tax base in many of these states dried up as people fled high levies and high prices -- Illinois, New Jersey, and Connecticut come to mind -- elected leaders were still left with the same overly generous pensions.
Illinois pension plans are in serious trouble. So serious, the states seeks a federal bailout. Cities are in trouble too!
Despite the accumulation of nearly ten years worth of evidence that the U.S. government cannot make money from its student loan business despite having a near monopoly in it, it may soon get into a whole new lending racket.
With stocks staging a remarkable bear market rally in the past week (even Goldman now says this is not the bottom and the impressive move of the past week is just another bear market rally), which reversed the fastest ever bear market, and pushed the
Last week, with stocks at 2016 lows, without a buyer in sight, with stock buybacks dead and buried, we first reported that according to JPMorgan calculations, some "$850 Billion In Stock Buying Is About To Be Unleashed" largely due to pension fund qu
Illinois' combined state and local pensioner debts have reached absurd levels. When divvied up between Illinois' households, the "shadow mortgage" each one is on the hook for now totals hundreds of thousands of dollars per household, if not m