There are a number of crises we can see heading our way (defaults in the muni market, the ARMs in April '09, post election feuding, the banks stating more "write downs," 8-10% unemployment, wildly unstable currency markets, credit-crisis-ends-access-to-student-loans) and here's my favorite crises watch at the moment: the States bailout package.New York State Gov, David Patterson, observed that he's projecting $12.5 billion deficit next year (that's more than 10 times the $1.5 billion that the State faces for '08) and noted that “In order to get through this, we are going to need federal assistance.” And so will every other state in the Union.
This is gonna get messy. More here.
