See ya later Chicagolater

CHICAGO (Reuters) - Illinois faces a $3.2 billion deficit in its upcoming fiscal 2020 budget that is nearly 16 percent higher than previously projected, Governor J.B. Pritzker’s administration said on Friday.

Their GDP is 600 billion.  Add in the back log, and they pay interest on 2% of gdp, a very high interest rate I might add.

But the localities are in deep doo doo and their liabilities fall back onto the state.  Add these in and get a number like 15% of gdp, maybe,  of debt that will carry an interest charge.  It does not seem like an impossible task.

Now add in Chicago and we see the problem. There total unfunded liabilities now become close to 30% of gdp.  Still doable, except for one thing, Illinois has to pay its share of the federal interest payments, about 3% of gdp, do the number and Illinois per capita ends up spending near 6% of income on interest payments alone.  That is an impossibility, that is evacuation, exit.