News
WSJ | Funds Cut Euro-Zone Bank Debt
U.S. prime money-market funds cut lending to euro-zone banks to a record low in June as concerns about Europe's debt crisis ramped up, according to a Fitch Ratings report.
WSJ | Muni Blues Worry Investors
Some cash-strapped U.S. cities are walking away from their financial obligations, exposing potential risks in the municipal-bond market.
Econ Comments & Analysis
Real Clear Markets | California Is Ground Zero for Muni Bankruptcies
Debates about the role of government are shifting from libraries and lecture halls to kitchen tables and coffee shops as municipal bankruptcies flare up across the country. And California is ground zero.
Project Syndicate | California Bad Dreaming
While central governments’ fiscal problems plague many economies, a parallel crisis is enveloping many subnational governments around the world. From Spain to China to the United States to Italy, these governments – regions, states, provinces, cities, and towns – face immense fiscal challenges.
Blogs
WSJ | 12 Municipalities With Money Trouble
The financial crisis prompted some distressed homeowners to mail their keys back to the bank rather than pay their mortgage. Now distressed municipalities may be taking similar steps with the keys to the city.
Daily Capitalist | Caught In A Debt Trap
As with much of the euro area, the US is in a debt trap. All the politicking in DC does not change this economic fact. The federal debt is going to be devalued.
