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declaring bankruptcy
economic slump
economic recession
bankruptcy protection
proper tools
mammoth lakes
California Towns Declaring Bankruptcy
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California Towns Declaring Bankruptcy

The latest casualty of the economic recession in America is the California city of Mammoth Lakes. This ski resort has been the destination for many enthusiasts, but unfortunately does not have the money to continue. This is the second California city that has filed for bankruptcy and it is a startling reminder how close America is to falling into a recession once again. While the total population is only 8,000, the city managed to accumulate $43 million worth of debt for a single botched development plan. Thankfully, they were able to pay off the majority of the debt leaving only a $2.5 million deficit. Nonetheless, this deficit was enough to drive them to bankruptcy.

The first California town to declare for bankruptcy had an even heftier bill. Stockton, California ended with a $26 million deficit for their city. This is just another one of the signs that America is really having some serious economic problems. The country has been unable to extricate itself from this economic slump, which is having a deep impact on the cities in the country as well as the individuals that live there.

Not only has the town filed for bankruptcy protection, but many of the citizens have as well. Real estate prices in California plummeted when the housing bubble burst and many homeowners and investors were left with very little. Many wealthier people saw their fortunes evaporate almost overnight because of the huge slump that hit the country. Nonetheless, there are hopes that this could stop in the near future. After all, Cleveland, Ohio declared bankruptcy in 1979 and the economy was able to pick up considerably. This example shows us that the end is not near just because California cities are declaring bankruptcy. Still, the people who are really suffering are seeing even more financial news they need to worry about.

Many families in California have gone so far as to enter the payday loan trap, which has ensnared so many people. Those who can’t get the proper tools to effectuate a legitimate payday loan settlement have decided to declare bankruptcy altogether and avoid a heavy tax burden. The people of America are tired of a poor economy, but it is difficult to change when even cities of this size are declaring bankruptcy. However, America has suffered through worse before and will undoubtedly go through many things similar to this economic recession. Hopefully it ends soon for everyone’s sake.


Street Talk

Good information, it doesn't get here (too far away) so keep them coming David

Reply
  about 1 decade ago

This niche is a good one David, the list of articles seems endless, good work!

Reply
  about 1 decade ago

Hm, didn't realize towns are going bankrupt. California has such a big economy it's surprising... indeed people are fed up with the economy! Thanks for your article - and do hope the economy picks up!!

Reply
  about 1 decade ago

Sad but true the economy has taken down a few cities.

Reply
  about 1 decade ago

Here's to continuous improvement setting our economy on a better and better days track.

  
  about 1 decade ago
Joan S  

May the recession end sooner than later. We've all had enough.

Reply
  about 1 decade ago

I couldn't have said it better enough is enough

Reply
  about 1 decade ago

Thanks for the info

Reply
  about 1 decade ago

thank you very much John

Reply
  about 1 decade ago
Johnney  

Payday loans should be illegal. Thanks for the share David, nice article.

Reply
  about 1 decade ago

Many states have banned them are but they are still available online for people to get. Thanks for the compliment!

Reply
  about 1 decade ago
Johnney  

Whoa, I didn't even think about them being online. What a catastrophe.

  
  about 1 decade ago

Good info and article David...

Reply
  about 1 decade ago

I really appreciate you taking the time to read it Kevin. thank you

Reply
  about 1 decade ago
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