1> Nope.
2> Yep. I think Detroit is probably functionally doomed. -XC
The place is absurd right now. Amid all this, a bunch of new, fancy retail shops have begun opening, including one that features $400 tennis shoes and $3000 fixed gear bicycles. It seems almost like they're making fun of the people who live around their storefronts, most of whom can't afford a $2 half pint of 5 o'clock vodka. Anyway, as for "functionally doomed", I don't think there is much chance that Detroit could be run any more poorly than it has been for the last half century. Therefore, I think it's doubtful that city services will be any worse. At the very least the trash is funded by an annual special collection fee and is not part of the general fund, so I don't think they will stop picking up trash. As long as I have that I'll not complain.
Yeah, but the pols have been basically marginalized by the bankruptcy filing and the emergency manager. This is the silver lining (or perhaps maybe the main thrust) of the decision to go for chapter 9. The current top mayoral candidate (who is running as a write in, because of dirty politics that kept him off the ballot) is a seemingly good candidate who used to run a big hospital here in town. I'm optimistic about the future. There is more construction going on in downtown than there has been at any time since I've lived here, and the core of the city is gaining residents rapidly (rental capacity is at greater than 95% in any decent area). We need to trim the fat, so to speak. Hopefully the new class of politicians who have a chance to win after the emergency manager is gone will have the stones to make that happen. Of the $15-20 billion that Detroit is in the hole, the vast, vast, VAST majority is in unfunded retirement obligations. Obviously, this has to change and change now. If we can get that monkey off our back, which won't be easy due to a lot of impending litigation, I think the city has a chance to reemerge from bankruptcy leaner and brighter. We shall see.
No, because the same exact people (maybe different flesh on the outside) will be in charge after the bankruptcy. Are the voters going to vote at 102% for different people from a different political party with a different set of economic theories? Insanity is doing the same thing over and over and expecting a new result. -XC PS - Construction around the country is because of Bernake's pumping. Going to all disappear with the next regime change.
Mike Duggan, the current front runner for mayor is a different sort of candidate. He is a white (not that that should matter, but it's unavoidable to talk about race here), former CEO of a large company. He isn't from the career political caste, which is corrupt beyond recognition, so if anyone can make a difference, I think he can. The other two candidates who have a chance of winning are business-as-usual types who will continue to ruin the city. It's an interesting time to live here, to say the least. I fear that you are correct. I also think that we are due for a sizable market correction.PS - Construction around the country is because of Bernake's pumping. Going to all disappear with the next regime change.