FROM JEROME CORSI’S RED ALERT
Belly up: 10 states face imminent bankruptcy
Personal insolvency also surges as tax revenues decline
November 16, 2009
WorldNetDaily
Ten states are facing imminent bankruptcy, confounding any possibility of economic recovery as tax revenues continue to decline and unemployment increases nationwide, Jerome Corsi’s Red Alert reports.
Those states in fiscal peril include California, Arizona, Rhode Island, Michigan, Oregon, Nevada, Florida, New Jersey, Illinois and Wisconsin.
The surge in looming bankruptcies among state governments is accompanied by a surge in the number of Americans filing for personal bankruptcy – further indicators the economy has a long way to go before an economic recovery is a reality in Middle America, Corsi explained.
The 10 states, accounting for approximately one-third of the U.S. population, face declines in tax revenue as unemployment now officially tops 10 percent and budget gaps that mean higher taxes loom in the future. State government officials have been laid off, key social services including prisons and police are strained and schools have been closed.
Corsi wrote that most states, unlike the federal government, are constrained by state laws to balance their budgets, meaning revenue shortfalls must result in reductions in state government-financed programs.
The article continues, with graphs and links, at World Net Daily.
