I view Detroit and its bankruptcy as a harbinger of things to come. The blue state social model of ever higher taxes, ever expanding benefits for members of public employee unions and one party rule by the Democrat party is coming to an end. The ending will be painful for people luckless enough to live in blue states, as I do, but this parasitical form of government ultimately destroys the private economy host it feeds on. Walter Mead at Via Meadia has been prescient in seeing this:
It looks like Detroit may yet have competition for the distinction of America’s most poorly run city. The unprecedented triple-drop in Chicago’s bond rating and the city’s shiny new long-term debt figure—$29 billion—should have pols quaking in their boots. The Chicago Sun-Times has published some distressing numbers from Chicago’s recent audits:
- The number of “physical arrests” by Chicago Police officers declined again — from 152,740 in 2011 to 145,390 in 2012. That continues a six-year trend that coincides with the hiring slowdown that caused a dramatic decline in the number of police officers. Police made 227,576 arrests in 2006. The number of arrests has been dropping like a rock ever since….
- Emergency responses continued their steady rise — to 472,752. That’s up from 300,971 in 2006.…
- The 55 percent subsidy to retiree health care that Emanuel wants to phase out and retirees are suing to maintain cost the city $97.5 million in 2012.
- The condition of Chicago’s four city employee pension funds is growing ever more precarious. The firefighters pension fund has assets to cover just 25 percent of liabilities, followed by: Police (31 percent); Municipal Employees (38 percent) and Laborers (56 percent).
In addition to the pension, law enforcement, and emergency response concerns that remind us of a certain bankrupt city across the lake, the report notes that three of Chicago’s four largest private employers (JP Morgan, Accenture LLP, and Northern Trust) are in finance. It seems like blue cities have a codependent relationship with the one percenters progressives claim to hate.
It hasn’t all hit the fan quite yet, but Chicago seems perilously close to real trouble. The city is all out of money, and with an imploding public education system and harrowing levels of violence, it is losing residents fast. Illinois, which itself lost more than 800,000 people to out-migration in the past two decades, is essentially Chicago on a larger scale, with hundreds of billions in unfunded pension liabilities and complete political sclerosis. The state cannot bail out Chicago, and judging by the feds’ reluctance to even lift a finger for Detroit, Chicago shouldn’t expect much more. →']);" class="more-link">Continue reading
Detroit has been de facto bankrupt for a very long time and yesterday it became de jure bankrupt with a Chapter 9 bankruptcy for the former Motor City. Hard to believe that during World War II Detroit was the heart of the American industrial machine that produced more military equipment than the rest of the world combined. How did the city that helped this nation win a world war end up looking like one of the bombed out cities of Europe circa 1945? There are many culprits involved but W.R. Mead at his blog Via Meadia knows who the chief villians are:
Detroit has been spending on average $100 million more than it has taken in for each of the past five years. The city’s $11 billion in unsecured debt includes $6 billion in health and other retirement benefits and $3 billion in retiree pensions for its 20,000 city pensioners, who are slated to receive less than 10 percent of what they were promised. Between 2007 and 2011, an astounding 36 percent of residents lived below the poverty line. Last year, the FBI cited Detroit as having the highest violent crime rate for any major American city. In the first 12 years of the new century, Detroit lost more than 26 percent of its population.
Progressive politicians, wonks, and activists can only blame big corporations and other liberal bogeymen for so long. The truth is that corrupt machine politics in a one-party system devoted to the blue social model wrecked an entire city and thousands of lives beyond repair. The sooner blues come to terms with this reality, the greater chance other cities will have of avoiding Detroit’s fate. →']);" class="more-link">Continue reading
In the Early and Medieval Church future saints seemed to often cross paths. However in our day and age this is a rarity. On a sunny Detroit afternoon in the summer of 1935 two potential saints did just that. If they lived today they would stand out like sore thumbs, two men belittled by some of their superiors who took no umbrage and continued on with their duties. In today’s world someone who chose the same path would be looked at as if they had written kick me on their backsides. After all this is the age, when our popular culture demands that any slight be met with a meltdown or protest, the louder the better. However, (Venerable) Father Solanus Casey OFM and (Blessed) Brother Andre Bessette CSC were holy men. Brother Andre will be made a saint October 17 (or is already a saint depending upon what day you read this.) Perhaps in his humble way Father Solanus Casey will be gently nipping at his heels.
Alfred Bessette (he would take the name Andre when he was ordained) was born in 1845 to a large Quebec family. Sadly for young Alfred, he would lose both parents by age 11 and would spend the rest of his childhood raised by an older sister. Twenty five years later, and several hundred miles west, Barney Casey (he took the name Solanus when he was ordained) was also born to a large family, in rural Wisconsin. He was the eldest of 16 children. His childhood was filled with hard family farm work, while at the same time that work was done under the umbrella of a faith filled home, where the Church was the glue that held the family together through tough times.
Both the young Casey and Bessette toiled at many jobs, ranging from farm labor to lumberjacks. While many were not surprised at their eventual vocation, both men carefully discerned their calling and concluded they were called to Holy Orders. Their lives wouldn’t be any easier once they were seminarians, or even after they were ordained. Ironically both men for many years worked as door men and porters, helping those who were visitors at their respective religious orders’ seminaries and monasteries. →']);" class="more-link">Continue reading