Can the American Currency Union Survive? - Ricochet.com
Frank’s argument, which makes perfect sense to me, set me to thinking about the United States.
After all, we have the same problem as the European Union.
Some of the states constituting our Union have spent money on public-sector salaries and benefits and on welfare programs as if there was no tomorrow.
California has a budget deficit of $16 billion for this year, and that is just the beginning.
As time passes and pensions promised in the past come due, public expenses will skyrocket.
Something similar is true in Illinois and New York.
In effect, these are clientalistic states on the Greek model, and they are approaching the end of their tether.
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