Financial security

New York City on Brink of Bankruptcy - Financial Analysts

A previous major money crunch took the city by storm in 1975, under US President Gerald Ford, who refused to bail out the Big Apple from its debt burden.

The Big Apple could be just a single crunch away from bankruptcy, financiers are warning, specifying that the city’s extraordinary tax burden, as well as greatly-increased public spending and net out-migration  could lead New York City to its first bankruptcy in over 40 years.

"The city is running a deficit and could be in a real difficult spot if we had a recession, or a further flight of individuals because of tax reform", The New York Post cited economist Milton as commenting.

The expert added that the city has already found itself in a financially difficult state, explaining that it “would be in an impossible situation if we had any kind of setback”.