(adsbygoogle = window.adsbygoogle || []).push({}); Motor city has moved into the pit stop to start the process of chapter 9 bankruptcy. After months of trying to break a deal it has sent a request to the courts.
Detroit is not the only city to have done this but it by far the biggest one yet. Coming in at number 18 in terms of population it still a big city. Adding to the city great history is the fact it becomes biggest municipal bankruptcy in U.S. history.
Of course Detroit is not alone other cities have gone down this path due to the 2008 crisis along with poor management of financials matters. Detroit was pretty much going to hit the wall sooner or later. For people who are curious Jefferson County, Alabama was the biggest at $4 billion. Detroit has smashed that record being in $20 billion debt.

So what caused Detroit to fall from grace.
Detroit’s population has declined 63 percent from 1953. 1.8 Million to 700,000.
Unemployment at 18.6 percent , 50% of the work force is not working who are over the age of 16.
Per capita income is just $15,261 per year, meaning not much tax.
High crime rate
78,000 buildings are abandoned or blighted with 12,000 fires per year.
Property values are low , less people pay tax as a result.
Bad governance for decades.
$20 Billion debt

Things are looking up Detroit the motor industry is slowly coming back, tech companies are moving in. People are slowly coming back as a result parts of the city are being repaired. So who knows Detroit may become a driver of growth in the area once again after year of decline. New york after all in the 1970s almost faced doing this but was able to avoid and become a key city.

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And this doesn't surprise me one bit. It was to be expected, hell when GM was in need of a bailout you could just predict that Detroit would need a bailout as well.

SHOCKER.

Ha.

Flint should be to follow; or so I would think. Sadly, I am uncertain about Detroit's turn around. There is just so much crime down there, it is hard to imagine businesses and people wanting to risk living down there.

Maybe Detroit should experiment with martial law via national guard and execution for crimes?!

Downtown Detroit is starting to come back to life. An housing short fall in that area a couple dozen big businesses are coming back to the city. Good Universities in the area on top of cheap housing.
Yes is a crime problem but with this should mean investment comes back. Which should reduce the crime problem along with giving the city badly needed income.
Big boost in investment spending is needed along with a plan to get things fixed.

Does face a series of challenges need to fix what caused the problem to start with. Soon as the jobs come back the crime rate goes down by a ton. Signs of a diversified economy appearing after years of one industry.

From what I been reading this what most economists are saying.

Now that I think about it a little bit, it does make sense. The city will start to earn more money from these businesses and the people who come to Detroit. The city will have the money they need to keep the number of police necessary for the size of Detroit and the level of crime.

But, I honestly think in this form, it will take a long time for Detroit to turn around. It is something that is kind of downplayed by the media; it is something you have to see and experience first hand.

Yea it going to be a long road.
Going to take a generation or two to turn it around.

I think American jewellery (hardcore pawn) is doing fine in detroit.

Or it will maybe never survive, and continue to slowly die