Illinois Credit Rating Now Worse Than Former Communist Countries

Daniel Greenfield, a Shillman Journalism Fellow at the Freedom Center, is a New York writer focusing on radical Islam. He is completing a book on the international challenges America faces in the 21st century.


The difference is that the former Communist countries stopped being Communist, while certain parts of the United States are becoming more Communist.

S&P has downgraded Illinois’ credit rating down  to A- which makes it the worst rated state in the United States. That seems about right considering what Illinois’ favorite son, Barack Hussein Obama has done to the credit rating of the United States.

Illinois now has a worse rating than Slovenia and Slovakia, it matches Poland and Botswana and is one step away from being Thailand, Kazakhstan and Italy.

The direct cause of this, as with so many overgovermented states and cities is the pension crisis caused by public sector unions.

Illinois has a $96 billion unfunded liability in its five state-employee pension funds, due to decades of shorting or skipping its pension payments. To catch up, the state must allocate nearly one-third of its general revenue annually to pensions, putting a squeeze on money for services such as education and health care.

Which leads to two inevitable responses

1.  Minority “Poverty” activists and unions fighting over the available money.

2. Both of them agreeing that the solution is to tax the rich

That leads us to wonderful situations like this…

Chicago teachers have the highest average salary of any city at $76,000 a year before benefits. The average family in the city only earns $47,000 a year. Yet the teachers rejected a 16 percent salary increase over four years at a time when most families are not getting any raises or are looking for work.

Unions and poverty activists unite to raise teacher salaries and benefits, while leaving their pensions unfunded and when the crunch comes, they raise taxes, the tax base flees and look… is it a bird, is it a plane? No it’s Detroit.

  • Mary Sue

    ILL ANNOY or California: which will collapse first? Taking bets now!

    BTW the guy in the picture looks like the guy that plays "Negrodamus" on Chappelle's Show.

    • AnOrdinaryMan

      If Illinois was the Titanic, the Chicago teachers would be shooting the passengers getting into the lifeboats, so they could get into them first. Isn't that just what you'd want in a teacher?

  • Nanis

    Where I live there is all kinds of different license plates from all over the United States. But when you actually meet people from Illinois, California, Michigan, Ohio, Iowa, Oregon and Florida they really have bad manners they even throw trash out of a moving vehicle, and they skip through lines at the grocery stores. What can you expect from someone like Obama.

  • http://www.adinakutnicki.com AdinaK

    How many times does it need to be proven, leftist revolutionaries are AIMING to deconstruct the U.S. economy, state by state? Where better state to start than in Chicagoland?
    http://adinakutnicki.com/2012/08/19/shoring-up-ba

    NONE of the above is an accident. It is by design.

    Adina kutnicki, Israel – http://adinakutnicki.com/about/