The article from Bloomberg.com says it all.
To one degree or another many states are in the same boat caused by politicians who are dependent on union support to get elected acquiescing to unreasonable union demands and then not providing the funding to meet the obligations they created. And, as this article points out, many times the public pensions use unreasonable assumptions to mask the real level of unfunded liabilities.
In the final analysis it is the taxpayers, teachers, firefighters, police officers and other government workers who will get screwed.
Negotiating a contract with two parties who do not understand their responsibilities to the people paying their salaries and have no fear of accountability does not work … but we all let it happen and simply moan about taxes.
QUINNSCOMMENTARY 
Your comments are correct.. But I see rays of hope here in Washington State where the legislature recently passed a budget which included some reductions in pension benefits for future state employees. The City of Seattle, which has a seperate pension system from the state, is also in the midst of evaluating their pension system. The harsh realities of our economic predicament have at long last penetrated the collective judgement in our state.
We are not far along the road to fiscal responsibity, but at least I see a start.
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There are a few bright spots I agree, also including NJ and Wisconsin, but the real test of whether or not people truly get the nature of the issue will be the recall vote of the governor in Wisconsin. Frankly I am not holding much hope. Even if he wins by a small margin it will tell us that people do not have the stomach for the steps necessary to fix financial problems. Imagine what that says about fixing the federal mess.
I suppose we can just tax all millionaires at 99% and that will take care of everything.
Dick
Richard D Quinn Editor Quinnscommentary.com
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Could not agree with you more. No Political contributions from unions.
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