Public sector pensions are massively underfunded because while politicians love promising outsized benefits, they don't like funding them.
State and local governments already owe $4.4 trillion in pensions fund obligations. This is growing daily. The one sector of America that is dominated by unions is government. Unions have disappeared in the rest of the economy. There can be no doubt that state and local governments will not be able to pay all of these obligations. They will default. The only questions are these: Which states? Which cities? When?
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The Tea Party Economist