Detroit Bankruptcy: Will More Major US Cities Fall Victim?

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detroit bankruptcy outsource to detroit bbc co uk
Detroit skyscraper sign reads “Outsource to Detroit” bbc.co.uk Getty Images

 

Detroit, which filed for bankruptcy protection in [July 2013], may be just the first domino to fall among major U.S. cities, says Stephen Moore, senior economics writer for The Wall Street Journal editorial board.

Detroit’s problem is 30 to 40 years of financial liberalism run amok, Moore tells Newsmax TV in an exclusive interview.

“This has been the problem among all major urban cities in America. It’s not just Detroit that’s in trouble,” says Moore, author of “Who’s the Fairest of Them All? The Truth about Opportunity, Taxes, and Wealth in America.”

***

“You’ve probably got 10 or 15 major cities that are in severe economic distress right now because of the cascade of liberal policies that have been put in place,” he says. Excessive welfare and massive pension benefits for city employees are a big part of the problem, he adds.

So will other troubled cities follow Detroit to U.S. Bankruptcy Court?

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