The recent downgrade of Atlantic City by Moody’s may cause some concern for the bigger business picture in New Jersey.The recent downgrade of Atlantic City by Moody’s may cause some concern for the bigger business picture in New Jersey.
After all, downgrades by ratings firms are a signal that something is very wrong, just ask Detroit, which became the largest municipality ever to file for bankruptcy last summer.
But State Senate president Steve Sweeney (D-West Deptford) said, even in the wake of the Moody’s downgrade, Atlantic City is not likely to file for bankruptcy any time soon.
“It’s not going to be Detroit,” he said. “We’re not going to let it be Detroit.”
Some of New Jersey’s largest cities have seen declines in both industrial and residential populations that may give those pondering whether the state is on the road paved by Detroit cause for concern.
But an NJBIZ editorial shortly after the Detroit filing expressed the opinion that the Garden State is far from “the decades-long bleeding in Detroit,” citing, among other things, foresight in the shape of reforms expected to save $130 billion over the next 30 years.
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