Bid to Let States Go Bankrupt Met Rapid Demise a Decade Ago
- Senate Leader McConnell voices support for idea in interview
- Governors, Wall Street, lawmakers, unions blasted it before
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The last time America’s states were in the throes of a crippling fiscal crisis, an idea was floated in Washington to help them swiftly bring it to an end: let them file for bankruptcy and escape from the trillions of dollars owed to bondholders and retired public employees.