Think about all those people who have lost houses, jobs, or private pensions. Now contemplate what their response will be when their states tell them taxes must be raised so as to fully fund public pensions.
State pensions lost $865 billion last year. 57% of money for police and fire services nationwide goes for pensions.
From Mish, who is a bit of a hardline libertarian, but his point is quite valid.
It is insane for 57% of money being spent on police and fire services to be for pensions. I am hoping such contracts get voided. One way to do it by municipal bankruptcies.
Many such bankruptcies will probably happen anyway.