According to a recent Pew Charitable Trusts study, in 2015 KTRS had about 51 percent of the money it needed to write checks to retirees in the future. The fund for most state workers — Kentucky Retirement Systems non-hazardous — only had 23 percent.
Susan Henry, president of the California School Boards Association, said the situation is not far different in Southern California, where she serves as an elected trustee in Orange County. “What we’ve been talking about is a perfect storm” for districts as pension contributions ratchet higher through 2024, she said.
At the beginning of the crisis in 2008, 11.2% of Greeks reported shortages in basic goods but, seven years later, this figure rose to 22.2%. According to the latest Eurostat data, Greece is the third poorest member of the EU followed by Bulgaria (34.2%) and Romania (22.7%).
The Treasury’s new economic forecasts, approved with the mini-budget of April 11, see the public debt, which hit a record high of 132.6 percent of GDP in 2016, virtually stable this year at 132.5 percent before easing to 131.0 percent in 2018.
“If companies in the same region offer a huge amount of guarantees for each other’s debt, it would form a guarantee web and deepen interconnections among the companies,” said Gang Meng, director of rating at Golden Credit Rating International Co. in Beijing. “If one company has to repay debt for its guaranteed company, risks would quickly ripple to other companies in the web, which will result in a butterfly effect.”
The latest release from the Office for National Statistics shows the poorest 10% of households fork out 42% of their income in taxes – including VAT and council tax.
Conversely, the richest 10% pay 34.3% – according to analysis by the Equality Trust.
No money left for social services and tax relief. Illinois’ unfunded debts come with substantial interest costs. Illinois social services are being drowned out by debt service. Between the mountains of debt and the interest cost on the debts, there’s no money left for social services or tax relief.
The Federal Reserve’s balance sheet has roughly quintupled to $4.5 trillion, or around a quarter of U.S. gross domestic product, from about 7% before the crisis. The Bank of England’s balance sheet has undergone a similar expansion. The value of assets held by the European Central Bank has more than doubled to around 36% of GDP. For the Bank of Japan, the balance sheet and the size of the nation’s economy are roughly equal.
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