[Friendlygal]

A city in Rhode Island has become the first in what is sure to be a long list of city and state governments to declare bankruptcy. Central Falls, Rhode Island filed for Chapter 9 bankruptcy yesterday. Here's a link to the story if you are interested 'City with a bright future' files for bankruptcy - US news - Life - msnbc.com

[zimie]

Wow, I am guessing that the city I live in will be on the list of cities that declare bankruptcy. I just wonder what kind of consequences that would have.

[leeti]

This is why people were saying last week to get your money out of the banks. It was all over the net with some crazy video clip from a Christmas story. I think that was the name of the movie...

[Chickie]

Wow, that is odd. I did not know you could declare bankruptcy as a city. Why would you need to get your money out of the banks? What could happen to our money?

[Izzie]

Well if there is a run on banks you won't be able to get your money because they will declare a "bank holiday", if the electrical grid goes down you won't be able to get your money because everything is electronic now, if the stock market crashes you won't be able to get any money because there won't be any. Lots of reasons to keep your hands on a large chunk of cash. Just because you have money in the bank doesn't mean a thing if you can't get to it.

[alygirl]

I am sure it won't be the last city to declare bankruptcy. I know there are several states on the brink as well. I wonder what happens if a state actually goes bankrupt? Does the Federal government step in or what?

[cero]

I know what video you are talking about! A ton of people on a money site I visit are raving about it too. I wonder which coast line is going to end up with more banks closed out.

‪MOVE YOUR MONEY‬‏ - YouTube

[OilandVinegar]

It's a shame our nation has gotten to this point. Everything is so unsteady and so uncertain right now. I have never heard of things being this bad. We are no longer in a recession, but in a depression in my opinion. A record number of people have been going to food banks because they don't have money for food. Our local food bank has been hit hard and have put out a call for more help. A federal grant they applied for was turned down too. I think we need to stop sending all of our money overseas and start helping ourselves first. If we can't feed our own people, how can we feed the world?

[AndysFather]

I know what you mean. It's amazing to me the things that have happened. Mismanagement and graft have caused a total breakdown in our nation's economy. Special interest groups have taken over our government it seems.

[Izzie]

GREED is what has caused this mess and it will never stop until we stop feeding into the machine. The uber rich have forgotten who puts that money in their pockets, and they need a reminder in a real big way. I think it's coming and it will not be pretty. Thanks for posting the clip Cero, that's from It's a Wonderful Life by the way not a Christmas Story.