- Image via Wikipedia
Headlines focus on the economic crisis at a national level. We hear about US deficits, problems in Greece, etc. Just as important and just as large as some of the Eurozone countries in the headlines are individual states in the US. While they are mostly out of the day-to-day headlines, a crisis is brewing that will not be solved easily.
Gregor MacDonald states:
I’ve identified seven large US states by four criteria that are sure to cause trouble for Washington’s political class at least for the next 3 years, through the 2012 elections. These are states with big populations, very high rates of unemployment, and which have already had to borrow big to pay unemployment claims.
These states stand in the same relationship with our national government as the crisis states (PIGS: Portugal, Ireland, Greece and Spain) in Europe. Neither group can print its own money, yet both groups are desperately in need of same.
MacDonald does a nice job of analyzing the problem here.
Related articles by Zemanta
- Why the Risk of Sovereign Debt Crisis? (seekingalpha.com)
- PIIGS Woes Help Dollar (blogs.wsj.com)
- Taking the Pulse of European Anxiety (seekingalpha.com)
- Debt crisis unsettles European economy (msnbc.msn.com)
- PIIGS Not Kosher at Barclays Capital (blogs.wsj.com)
- An economically divided Europe (theworld.org)
- Olive: Will Greece set spark to ‘global debt bomb’? (thestar.com)
Related posts:
