Farewell to the American Dream

The socio-economic situation in the United States began to deteriorate as a result of massive defaults on the grassroots, municipal level, which is carefully concealed from the federal and international statistics


Over the past two years showed a strange migration trend of 21 of my classmates and friends, has long been safely ensconced for permanent residence in the United States, more than half, 12 people, unexpectedly returned to Russia. On the question of "why", says people are just horrible stories, more similar to the round-up of the poorest countries in Africa. "America is not the one!", — Told me Yura history, a programmer with whom we used to hang out in the dorm of University of St. Petersburg and then in 2000, heartily farewell to Pulkovo, accompanying him to the states. Looked at migration statistics US-Russia in recent years — indeed, the trend, as they say, to the face in the 2012 home of the United States has returned 2,102 Russians, which is almost three times more than in 2011.

Monitoring of macroeconomic indicators of the country of freedom did not answer the question about the reasons for this phenomenon: there is no recession, unemployment consistently high but not critical, the index of industrial production marks time zero. However, if we dig deeper, look at the problem in the regional context, it is clear where the trouble lies — as of August 1, 2013 for 12 cities have declared bankruptcy and ceased to serve its social commitments, pre-default condition of the 346 towns and 113 municipalities country. These stories are carefully hidden. And the world learned about Detroit only because there socio-economic situation is out of control and could not be concealed.

San Francisco and stool

Returning from San Francisco engineer Nikolai Fights over a glass of delicious American Jimmy at the bar told me about the virtues of life in this once thriving city: "There's a neighborhood called Hunter's Point — an absolute nightmare. More than half of its population lives in poverty, and more than half of the children — without fathers. I sometimes have to travel there on business. We are the boss the way on dirt and concrete on the north-east building. Once we stopped to look around at the uninhabited houses, windows and doors which have been boarded up. The stream of shit, urine, tampons and toilet paper emerged from a dark hole in the pavement, and flowed over the hill next to the street overflowed into a kind of shitty lagoon. It grew tall weeds twenty centimeters. Fresh shit, you know? This is not a joke and not a joke. " I looked at the WHO website information on "red spots" on the map of the world — San Francisco thick line marked with a note: "high incidence of viral infections in the population." Explanation of professionals very clear: faecal matter — refuge of dangerous bacteria, especially E. coli, pathogenic microbe which leads to the disease or even death, especially infants. In the so-called developing world, according to WHO, contaminated feces water — the main killer, which account for 1.8 million lives annually.

Child poverty, Detroit and darkness

However, in general, San Francisco is in a better position than the rest of California. Further south along the coast, Los Angeles suffered the fate of the city with high unemployment and be sure to follow this growing crime. In just the last three days here 54 committed arson and rape 8 (data from the Metropolitan Police).

The number of people living in extreme poverty of children in the state of California from 2007 to 2010 increased by 30 percent. According to the National Center for poor children in Philadelphia live in extreme poverty, 36.4% of children in Atlanta — 40.1% of the children in their Cleveland 52.6% (!), And in Detroit — 53.6%. According to research at the Brookings Institute, from 2000 to 2010 in the U.S. poverty rate rose from 15% to 40%.


According to Detroit at all monstrous figures. The analysis of census showed that 48.5% of all residents in the city of men aged 20 to 64 years old are unemployed. The average cost of a home in Detroit — only $ 6000, and some of the homes on display at all for a symbolic $ 1. High school graduate, only 25 percent of school children. The city has become a very dangerous place to live. 100 bus drivers recently refused to travel on the line for fear of personal safety. The head of the drivers union, Henry Gaffney said that the drivers are "afraid for his life" …. "Our drivers are scared, they fear for their lives. This security situation has continued for a long time. I think yesterday's incident just the last straw when one of our drivers at Rosa Parks beat teenagers, and the police got there in thirty minutes, and it's in downtown Detroit, "- said Gaffney. Currently, Detroit — a city that tore apart the thieves and vandals. The buildings are literally disassembled into pieces people who are looking for something that can be sold and stay afloat.

Detroit is a serious war for it to work in the city street lights. Thieves, outdated equipment and lack of funding does not allow the authorities to solve the problem. City officials estimate that 15-20 percent of the 88,000 street lights do not work, and recognize that, in some areas, this number may be as high as 50 percent. But the street lighting has become a major disaster, not only in Detroit. In the city of Highland Park, Michigan, most of the street lights were removed because the city did not pay for electricity. In Fresno, Calif., theft of copper wires of street lighting has become a serious problem. At present, lighting repair lines and loss of copper wire cost the city a monthly 50 thousand dollars. Now about 2,500 light poles are without wires. An interesting review of a trip to Detroit Belarusian Andrey Rogov, who now works as a truck driver in Canada: "Scary ghost town with a very high crime rate. Lots of places where the police do not drive. They shoot there because of the angle. Because once construction and heavy snow on a wagon pulled into some side streets. At each (!) junction, as guards, are negros narco-traffickers. "

This year, the United States once again fell in the ranking of the WHO growth rates of tuberculosis (now 6th in the world) and STD (5th place). The rate of HIV infection in Washington than in West Africa, the director of the Agency for the Control of HIV and AIDS, the District of Columbia: …. "We have a higher level than in West Africa," — says Shannon Hader, director of the agency, which has led the Centers for Disease Control and Prevention in Zimbabwe. "We are on a par with Uganda and some parts of Kenya." Canada has come up with a very "unusual" ways to prevent the spread of disease. For example, in Vancouver, the Province of British Columbia handed out to drug addicts free pipes with heavy drug crack to reduce the spread of disease. But there is a limit — the man put no more than one free tube crack a day.


Stockton City filed for bankruptcy on June 28 last year due to the downturn in the housing market and the debts accumulated. Over the past few years, the city has cut more than $ 90 million expenditure, particularly the Police Department went to that expected, led to an increase in homicides and the overall crime rate. Ruslan Bezhemsky in June, returned to his native St. Petersburg, told: "City dump in Stockton is located just a few blocks from City Hall. Around reeling mass of suspicious people, mostly blacks. And so many homeless people I have not seen even in Moscow transitions — they are almost more than the ordinary passers-by. Constantly beg for small change, and if you give to one, he immediately runs up some more. Signs hanging around the streets of leasing offices buildings intact, but there are none. Half of the buildings in the city or on chains, or boarded up. The only thriving business in Stockton — is the sale of alcoholic beverages. Later in the afternoon the streets are filled with drunken black teenager at the sight of which immediately becomes uncomfortable. For the whole day in the city I had never seen a single policeman, even in the center. But almost from each gate is heard odor of marijuana. "

Unknown heroes

The following represent a partial list of the largest cities of bankrupt U.S., which is not known to the general public.

Mammoth Lakes, California

On July Mammoth Lakes filed for bankruptcy due to inability to pay on a claim for $ 43 million filed against the city urban planner.

San — Bernardino, California

San Bernardino has applied for bankruptcy protection, becoming the third-largest U.S. city bankrupt. Instead of major cuts to police and fire departments, as did Stockton, the city chose to apply for bankruptcy. City attorney James Penman said that the documents that were presented to the mayor and city council, 13 of the 16 years had been falsified, and thus hiding the true costs of the city, in the end only exacerbating its financial problems.

Rockland County, NY

District has already cut 412 jobs in the middle of last year, after Moody's gave it a negative outlook due to its budget deficit of 18 million dollars. This year, authorities have yet to dismiss 514 employees. All U.S. intelligence solidarity of the opinion that the city came close to default, which would inevitably come within 1-1.5 years.

Scranton, Pennsylvania

Scranton in the budget at the moment is not enough for about $ 16.8 million. To help reduce costs, the city has cut about 400 state jobs. "The city does not have money," said City Councilman Robert Makgoff. "We live every day as the last." Bankruptcy prediction: I quarter of 2014.

Providence, Rhode Island

In late May, assigned to the bankruptcy of Central Falls (a town in the county of Providence), the judge said, "I do not know how else they can get out of it, but to declare bankruptcy." Weather default: fall 2013.

Santa Ana, California

Credit rating of Moody's assessment of only one higher status insolvent. Bankruptcy prediction: 2014.

Long Beach, California

Long Beach has revised the contract with the police and firefighter unions regarding pension cuts spending in an attempt to reduce overall costs and savings to the city budget $ 18.5 million. Predicted bankruptcy: 2014

Costa Mesa, California

To save money, the city of Costa Mesa sold police helicopters and cut payroll. Bankruptcy is expected in December 2013.

San — Diego, California

Pension problems plagued the city for many years, and most of the proposed solutions have a negative effect on the new workforce, little is doing to reduce the ever-increasing debt. Defaulted in 2014.

Los Angeles, California

The city budget deficit of $ 238 million, as it has huge unfunded pension liabilities and an annual budget of nearly $ 7 billion. Expected default (if it does not save the federal center) in February 2014.

Gubenator of Michigan Rick Snyder said in January that he estimates it employs 235 towns and cities that are functional bankrupt. One of these cities is the city of the State of Michigan Flint. Flint was once called "the city of the engine of America" because it was a Buick assembly plant, a large plant for the production of spark plugs, and Fisher Body. Neither of these units are no longer functioning. "City-engine" was the "city of murders." In the past, the city has a population of 102,000 people were registered 66 such crimes. The murder rate is even worse than in Baghdad.

According to analysts, in cities such as Chicago and Santa Fe (New Mexico), there are alarmingly high pension liabilities relative to their incomes. Among U.S. cities with high costs of pensions Moody's highlights Santa Fe (New Mexico), whose net pension liability is six times greater than its operating income — the worst performance among all cities. The following Virginia (MN), where the excess is 5.9 times. Las Vegas, NV (NM), — in the third place in excess of 5.5 times, while Chicago in fourth place with 5.4. The agency «Moody's Investor Services» Chicago downgraded by three notches to A3, and Cincinnati — to Aa2 because of rising pension costs. Like Detroit, Chicago collided with a population decline of 7 percent from 2000 to 2010, but it's all the same flowers, in comparison with the catastrophic 25-percent decrease in the population of Detroit in the same period of time.

The World Bank expert Eric Shvaytsern in an interview with "Expert Online" explained: "In the U.S., many social engagements in recent years have been transferred from the federal to the state level, and the states themselves, in turn, willingly gave their municipalities. Suffice it to say that of the 22 social programs initiated in 2008 within the framework of anti-crisis pact, only 3 were for federal and 7 — for state budgets. Distressed assets in the system of public administration is also transferred to the county and towns. This is done in order to hide the huge deficit of the consolidated budget of the country, which, when viewed in the complex, there is already some default settings. Covering deficits traditional transfers from Washington no longer works because of the law of sequestration. During the next three years, we expect an avalanche of bankruptcies process of U.S. cities that can already put the country on the brink sovereign default. "

In conclusion, we note only that the U.S., despite the Herculean efforts of the government to return the industry to the country, is still faced with the migration of production to Asia. According to the OECD, in the last 20 years of the states have moved their factories more than 43 thousand companies, or 76% of the industrial capacity of the United States. A social commitments remain at extremely high levels. The current political elite will have to take unpopular measures to reduce social standards. But Americans have become so accustomed to a comfortable life with great benefits and pensions that they can not even accept the idea. Disturbances are already dissatisfied with surprising regularity in any substantial reduction of budget obligations to the public. Barack Obama have the difficult share — to teach U.S. citizens live within their means and eventually deprive them of the great American dream.


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