It’s the thesis of my new blog, “Boomergeddon” (or, “The Retirement Crisis”) that the federal government will reach the brink of financial insolvency within the next two or three decades. If you buy my argument, another question logically poses itself: Who will provide essential government services when the feds go broke?
Not California, that’s for sure. In the aftermath of Tuesday’s referenda, in which voters roundly rejected some $16 billion in tax increases, the finances of the “tarnished gold” state are looking more precarious than ever. California is an instance of a state whose governance system has failed. Blame the Ds, blame the Rs, blame whom you choose, but the fact remains, the state is all but ungovernable. And when the federal government follows suit, circa 2030, where would you prefer to be living?
I explore that question in my latest blog post, “Who Will Pick up the Pieces,” where I include a table that might be helpful in making that decision: the current bond ratings of the 50 states. If If California is a prelude to a larger, society-wide disaster, only the fiscally strong will survive. Virginia is one. Go see who the others are.
