Illinois has been borrowing to meet current expenses, pay down old bills and return what is owed to its vastly under-funded pension funds. The practice is whacky, causing Illinois to have the nation's worst credit rating.
Now comes some more bad news: the municipal bond market has suffered the biggest three-day plunge in more than a quarter century. That means that borrowing money will become ever-more expensive for Illinois--if it can find anyone to buy its crappy bonds.
To fully understand the depth of the municipal bond sell-off, read the Bond Buyer here.
All the more reason to listen to the Illinois Policy Institute's explanation for why Illinois' pension mess needs to be cleaned up and neither House Speaker Michael Madigan or Senate President John Cullterton's proposal don't do it. (Read it in Eric Zorn's exchange with the group's Kristina Rasmussen.)
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