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New York City Hoping To Avoid 70’s Disaster

New York City is facing its’ worst financial crisis in years. The last time the City faced so many challenges, the results were devastating. In the 1970s as tax money dried up, city services went along for the ride and residents fled the City in droves as the situation deteriorated.

New York City officials are confident they’ll avoid many of the worst problems this time around.

“The city, obviously, is looking at a deteriorating economy and eroding revenues, but it has a full handle and grasp on the extent of the problems,” said Harrison Goldin. “As painful and difficult as they may be, it is in a position to act pre-emptively and to avoid ending up in the sewer.”

Mayor Mike Bloomberg, who is seeking a third time in office, says he won’t ignore the lessons of the past.

“I know some are concerned that city services will erode,” he recently told reporters. “Let me remind you that the city went down that road in the 1970s … I can just tell you that we are not going to make that mistake again.”

Of course the problems facing NYC might very well get tougher in coming months, rather than better, as more revenue promises to evaporate. Wall Street firms, in particular, are unlikely to contribute much to the bottom line.

As fewer municipal bonds are purchased, the woes may worsen.