Chicago Public Schools’ Pension Crunch

Matthew Yglesias :

I get annoyed when conservatives talking about the federal government running out of money, but listening to some progressive crowing about the outcome of the Chicago teachers strike it’s also frustrating when people don’t acknowledge that the city of Chicago most certainly can run out of money. Things like extra money for music and art teachers could be great ideas or could be bad ones depending on where it comes from. But it’s not as if Chicago Public Schools is sitting on some giant pile of money that administrations have just been refusing to use. On the contrary, it’s actually sitting on a large unfunded pension obligation: