Omigodlies

Median pension costs for local governments grew nearly six times as much in California as the rest of the country over a decade, according to new data compiled by a UC Berkeley professor.
Median pension costs went up $7,022 per employee in a selection of cities, counties and special districts in California from 2007 to 2016, compared to a national median increase of $1,216, Sarah Anzia, an associate professor of public policy, said Wednesday in Sacramento.The rising pension costs have consumed an increasing share of local government revenues, absorbing an additional 2 percent of general revenues over the 10-year stretch in California compared to a national median of 0.7 percent, according to Anzia’s data.“Local government is being affected by high pension costs,” Anzia said. “It’s not in the future, it’s now.”Anzia analyzed spending of 442 local governments around the country, including some from every state and 26 cities and counties in California.Her results are in working paper form, and have yet to be peer-reviewed for publication in an academic journal. But she suggests her results could fill a gap in public policy debates, since most researchers have focused on pension plans and their performance rather than on local government impacts.

Not mentioning that California is 1/6 of the economy, so the averages are farther apart. So, when California public sector cuts back, it cuts for a decade and we get less liquid government, a formula for populism.

Liquidity over the entire spectra is a conserved quantity.  Treasury is taking a bg chunk of that, bong rates will rise slightly for local governments.