Are they printing money big time?? Yes, and it effects where the money is invested. Will a president walk the states into bankruptcy in the next few years? Yes...No question about it. You have both the federal and state issues. But they both effect the economy. See below...Concerning Illinois. Their bonds are "trading" at junk level status...
https://www.wsj.com/articles/near-junk-illinois-to-sell-more-bondswill-investors-buy-in-1524574801
Yes, we know that China could shoot themselves in the foot by not buying our bonds. But they could take the hit and just trade with the rest of the world. Almost like what the world did after the USSR broke up. It took them 10 years to redevelop their economies...
Another story about California bonds...
http://l.facebook.com/l.php?u=http://sanfrancisco.cbslocal.com/2017/09/25/california-pension-reform-calpers/&h=ATMH4uzTKHuj7WFgQF9s2bt7sQQ08taDx1y2swIVfuz5PgHlnpbiJEJNSmHdBk6W958C9fIfIElyKXL4Odc4Brr2qg3dQo-Z_W_h7lUWxMIDF3H3zQTRVNw-1RKNLEmr8Sttw6ux9VUJOckn
The above...California is short by one trillion dollars (not billion)!!
So how are your PIIGS doing now??
These states include
Portugal,
Italy,
Ireland,
Greece and
Spain and if combined together, they form the acronym PIIGS. The reason why these countries were grouped together is the substantial instability of their economies, which was an evident problem in 2009.
PIIGS - Portugal, Ireland, Italy, Greece and Spain
piigs.net/
