Is the Municipal Bond Market the Next Crisis?

This report, by Frederick J. Sheehan, details what may be the next crisis to hit the United States economy. With more than $3 trillion dollars of the United States economy invested in Municipal Bonds and approximately $2.7 trillion dollars of outstanding debts from state and local governments nationwide, something has to give. Municipal debts are getting bigger, at the same time, government employee salaries continue to rise. For years people have been told that Municipal Bonds are one of the safest investments that they can make. This certainly has the potential to develop into the next big crisis.