There was an interesting article in this week's New York Times that spoke about States considering some form of bankruptcy to deal with their fiscal problems. Although
states are barred from seeking protection in federal bankruptcy court, many are seeking a similar alternative that would permit a state to alter its contractual promises to retirees, which are often protected by state constitutions, and it could provide an alternative to a no-strings bailout.
I have a novel (well not really that novel I'm sure) idea! Why doesn't the US Federal Government aid assistance to states in the United States of America? Instead of giving billions and billions of money to other countries, why not pull back some of that money and give it to some of our own states that need help? Instead of wasting billions and billions of dollars in country building efforts, why not "build" our own states?
Even if the Feds just gave the States a "loan" this would help a great deal. Guess not! The Federal Government would rather send the money overseas instead of helping those in our own country. I am totally in favor of giving aid to other countries, but when our own need help, the dollars should go to them first. If a relative needed some help, I'd give him the money before I contributed it to a non-familial organization.