Actually, you missed probably the biggest reason for so many state's being near bankruptcy. Over the years elected state officials have pandered for the votes of the unions representing state employees, agreeing to outrageous pay, benefits and retirement packages. That was the crux of the big disagreement in Wisconsin. The governor wanted to roll back those sweet union contracts and limit the unions rights to continue to negotiate for even more.

Unfortunately, lots of states are now stuck with long term obligations such as employees being able to retire at an age that wouldn't even qualify them to live in The Villages for retirement pay that exceeds what they were earning while working. There are lots of examples. The Wisconsin teachers, Chicago firemen and New York cops are just the tip of the iceberg.

But now, because of those egregious union contracts and state retirement benefits, the states say they can't afford and refuse to pay for health insurance for their neediest and most helpless citizens, essentially creating a hidden tax on those more able to pay. And many here carp and complain about the threat of death panels and insidious increased taxes? What do you think the refusal of many states to endorse the broader health coverage of ACA amounts to? If the politicized decisions by governors and state legislators isn't a "death panel", doesn't essentially "throw Granny off the cliff", you're looking at a different situation than I am.

This sounds like Greece getting ready to happen, right here between New York and Los Angeles.