Bush and Gingrich claim to strongly favor federal legislation to allow states to declare bankruptcy.
Check out the full article here:
view/20110131bankruptcy_protection_would_aid_states/
We're intrigued by the idea, which would appear to allow states to do an end run around crushing union contracts and pension systems that have busted state budgets nationwide. But, on the other hand, there seems to be an equity argument here, and we could see bankruptcy being used as a crutch providing cover to irresponsible state financial management and poor leadership (which is a bad thing). At the same time, what else can states do if unions aren't willing to work with states to find fiscal solutions?
So, we're asking our readers: what do you think? Good idea or bad idea? Please take a peek at the Herald and let us know your thoughts by posting a comment below.