A legacy of generous spending, combined with high unemployment and poor planning, is making the likelihood of U.S. municipal default more likely. Fortune reports that Detroit; Harrisburg, Penn.; and Jefferson County, Ala., are the most likely American municipalities to leave already burdened taxpayers reeling from a growing inability to repay debts.
Detroit's woes are well known. Harrisburg, whose bond-interest payments this year exceed its entire budget, is negotiating with Covanta Holding's
Although a Greek-style meltdown is unlikely here, the growing likelihood of defaults is enough to make an already stressed-out and fiscally stretched public even more anxious about prospects for economic recovery. What can municipalities do to get back on track? How much near-term pain will be necessary to achieve long-term gain? Sound off in the comments box below.
More from The Motley Fool
Why BeiGene Is Soaring 13.8% Today
The company's wallet is about to get a bit thicker.
7 Quick Things You Can Do to Boost Your Wealth in 2018
If you have 15 minutes, you can do one of these things. Do one a day and in a week you’ll be setting yourself up for better financial success this year.
Alcoa (AA) Q4 2017 Earnings Conference Call Transcript
AA earnings call for the period ending December 31, 2017.