Firefighters... WTF!?!!?

[Cujo0920]

Look at what's happening in Detroit and other bankrupt municipalities where the Wall Street-Federal Reserve looting syndicate is ordering its DNC errand boys to throw the unions under the bus so the banksters can accelerate their asset-stripping of what's left of the productive economy, with pensioners, savers and taxpayers left holding the bag. All those municipal labor unions who thought their payola-for-votes deal with the Democrats ensured a gold-plated retirement are suddenly realizing to their shock that they were sold a bill of goods.

[8Ring]

Look at what's happening in Detroit and other bankrupt municipalities where the Wall Street-Federal Reserve looting syndicate is ordering its DNC errand boys to throw the unions under the bus so the banksters can accelerate their asset-stripping of what's left of the productive economy, with pensioners, savers and taxpayers left holding the bag. All those municipal labor unions who thought their payola-for-votes deal with the Democrats ensured a gold-plated retirement are suddenly realizing to their shock that they were sold a bill of goods.

Detroit and the "other bankrupt municipalites" have a long track record of fiscal irresponsibility, fed by among other things, bloated union contracts, excessive pension benefits, anti-business climates, and general political corruption. Add in a declining industrial base, high crime, terrible schools, a shrinking tax base, and, in some cases, increased spending based on a belief that the real estate bubble would never burst. Then leaven the mix with a general recession and you have the recipe for disaster. Do not blame those who lent money to finance these efforts. Many legitimate investors, including individuals and pension funds, bought bonds and other debt from these government entities and they are entitled to a some return on their investments. (Unless you believe that those who are fiscally stupid should be excused from paying their debts.) That said, municipal bondholders, like almost everyone else, will end up taking a "haircut" from the bankruptcy courts when all is said and done. Trying to screw investors will simply raise borrowing costs in the future.

But the folks who lent the money did not cause Detroit to become a largely abandoned economic and moral dump. There are those, including unionized public employees, who view government as a pinata that will rain goodies on political favorites regardless of the ultimate costs. This class is largely to blame and now its members will have to live with the consequences of those decisions.

Hopefully these bankruptcies will have a salutory effect and warn other cities of the dangers of profligate fiscal ways.

[cstone]

You could replace "Detroit" in your post with "the United States." When the interest rate on borrowed money goes up, the only resort left for the federal government will be increased taxes and more printing of useless currency. That should be great for business.

[Zundfolge]

We had an opportunity to make Colorado a Right to Work state back in 2008, but the low information voters bought the lies told in the ads by the union pukes about Amendment 47 so Colorado is still one of those states where you could find yourself in a forced unionization situation ... which may be the case for Firefighters so sometimes its hard to be hard on the individual firefighters as they have no say in it. Their checks are raided by the union and that money stolen to use against their interests.

I'd starve to death before I took a union job.


American labor unions; Karl Marx last laugh.

[Irving]

Do not blame those who lent money to finance these efforts. Many legitimate investors, including individuals and pension funds, bought bonds and other debt from these government entities and they are entitled to a some return on their investments. (Unless you believe that those who are fiscally stupid should be excused from paying their debts.)

What? No they aren't.

[cstone]

Politicians often write checks that tax payers can't or shouldn't be expected to cover.

It is oh so easy to spend other people's money.

Every politician who makes a statement that they need additional revenue to cover necessary expenses, should first begin by donating their entire salary to the government. After all, if it is so important, put your money where your mouth is; or lead by example.

[Aloha_Shooter]

Investors aren't entitled to a return on their investments but they are entitled to not have the government steal funds that would otherwise have been a return on a good investment, e.g., enabling MF Global steal depositor assets to pay back their loans from JP Morgan or to pay off union thugs. Anyone who bought bonds in Detroit should have viewed them as junk bonds with the same (or worse) risk of default versus payoff as other junk bonds.

[8Ring]

Investors aren't entitled to a return on their investments but they are entitled to not have the government steal funds that would otherwise have been a return on a good investment, e.g., enabling MF Global steal depositor assets to pay back their loans from JP Morgan or to pay off union thugs. Anyone who bought bonds in Detroit should have viewed them as junk bonds with the same (or worse) risk of default versus payoff as other junk bonds.

Hello:

You make some good points. I don't know how Detroit bonds (or other bankrupt cities' bonds) were rated before the bankruptcy. And it is true that many of the fiscal problems of Detroit (and maybe some other bankrupt cities) should have been public knowledge when the bonds were offered. If there was fraud or concealment of the true financial condition by city officials or if the bond underwriters swept the fiscal problems under the rug, they should all go to jail. I agree the bondholder will have to take a loss as must everyone else involved in this sorry mess. Just don't place all the blame on the bondholders.

Chris

[Aloha_Shooter]

In this case, I think anyone buying Detroit city bonds within the last 10 years was either delusional or betting on green (in roulette). It didn't take much research or effort to realize the city finances were messed up beyond recovery.

[Flatline]

I just want to put out there that not all firefighters support the IAFF, in fact some loath them including myself. They won't have anything to do with our department since we are mixed paid and volunteer. One of our volunteer's dad died of fire related lung cancer 6 years after retirement (as a career firefighter), the IAFF wouldn't put his name on the wall because they limit to 5 years after retirement (the guys dad was retired medically from the department for the same problem that he ended up dieing from).

The IAFF seems to refuse to acknowledge that not all municipalities can afford to have no volunteers, let alone mixed career and volunteer. They do not support firefighters, they support their members which are NOT all firefighters.