Publication Date: December 2013
Publisher: Center for Retirement Research at Boston College
Author(s): Alicia H. Munnell; Jean-Pierre Aubry; Joshua Hurwitz; Mark Cafarelli
Research Area: Economics
Keywords: State and local pensions; state; local; pensions
Coverage: United States
The briefâ€™s key findings are:
Detroitâ€™s bankruptcy and Chicagoâ€™s fiscal problems have led some to question whether cities nationwide are in trouble and if pensions are the reason.
But a search for cities identified by the media as financially troubled found only a small number overall, with about one-third located in California.
And, among the financially troubled cities, pensions are only a minor factor; the main drivers are poor financial management and weak economies.
Thus, the answer to both questions appears to be â€œno.â€