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Detroit Goes Bankrupt: Will Unelected Manager Pit City's Needs Against Rights of Pensioners?

Democracy Now! on July 23, 2013 15:26

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    View all - Facing an estimated $18 billion in debt, Detroit has become the largest U.S. municipality to file for bankruptcy. It is a grim milestone in the decline of what was once the country's fourth largest city. Known as the Motor City and the birthplace of the middle class, Detroit’s auto industry and manufacturing sector have collapsed. A steady decline in population has decimated its tax base, leaving the city with massive cuts to basic services and one of the nation's highest rates of violent crime. The Chapter 9 bankruptcy filing has set off what could be a prolonged legal battle with thousands of current and former city employees entitled to pensions and medical benefits. Detroit's unelected Emergency Manager has said that cutting pensions will be vital to restoring basic services that have shrunk with the decline of city revenues over the years. We're joined by Mark Binelli, author of "Detroit City Is the Place to Be: The Afterlife of an American Metropolis."

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