New Jersey to default????

[dixiegrrrrl]

"Things are probably worse than most people believe," state Sen. Mike Doherty told me the other day. "It’s questionable if we’ll even be able to meet payroll in a few weeks."

"The picture’s so bleak that all the major things that people said can’t be done will have to be done," Doherty said.

apparently has to do with credit default swaps and inability to pay back bnds. Gee, that sounds familar.

http://blog.nj.com/njv_paul_mulshine/2009/12/njs_financial_crisis_crunch_ti.html

[FiveGoodMen]

1. The world's wealth has not just disappeared.

All this is happening because the rich have stepped up their robbery of everyone, everywhere.

And we don't have the sense to take the money back.

By force, if necessary.

This will continue until we collectively decide to stop it.

[Walk away]

2. +1

[n2doc]

3. Given all the borrowing, "taking it back" might just mean deleting loans

Jubilee, anyone?

[FiveGoodMen]

5. Maybe, but for starters we could have a better tax structure,

the elimination of corporate personhood, and a policy of "TARP" for the little guy first.

[ArbustoBuster]

7. Please let me know a few weeks before you do that.

I need to go take out a huge loan before they all get forgiven. :D

[MattSh]

4. As a former NJer and former NJ state employee, I'm not surprised.

It's been coming a long time now. Wall street greed just gave it the shove it did not need.

.

[kerrywins]

6. no they won't...they'll just take more wealth from us

when a government has the power to take your wealth, they will never default...not without draining you dry first.

[econoclast]

8. Sound familiar?

NJ problems have nothing to do with credit default swaps. CDS only enter into the picture because people are buying them as insurance against a NJ default. The CDS are not contributing factor in any potential default by NJ

The thing that does sound familiar is the part about spending billions of dollars you don't have on construction projects. Where have I heard about something similar in the past year? Seems oddly familiar.