[QODLink]
FAULT LINES
California: Failed state
The world's eighth largest economy is in crisis and there may be global repercussions.
Last Modified: 13 Jun 2009 18:25 GMT



Watch part two

California is in crisis. The state is $24bn short of balancing its books this year - and it may run out of cash to pay its bills in a matter of weeks.

It is a local story with global implications. California's economy is the largest in the US and the eighth largest in the world - as big as Brazil and three times the size of Saudi Arabia.

If California fails, the shock waves of this economic crisis will be felt around the globe.

In depth
155x48

 More on Fault Lines
 More Fault Lines videos
Enter the Hollywood action hero. In his final year as governor of California, Arnold Schwarzenegger has a radical plan.

He is trying to balance the budget entirely by slashing government spending - mostly programmes for the poor.

Millions of Californians would lose welfare and health care benefits, thousands of teachers and state workers would be fired. State prisoners would be dumped into county jails.

Avi Lewis travels to South Central Los Angeles to learn about the political causes and the human impact of shock therapy, California style - and gets a glimpse of how the next chapter of the global economic crisis is likely to unfold.

This episode of Fault Lines airs from Thursday, June 11, 2009 at the following times GMT: Thursday: 0600, 1630; Friday: 0130, 0830; Saturday: 1130, 2330; Sunday: 0630, 2030; Monday: 1430; Tuesday: 1230, 1930; Wednesday: 0300.
Source:
Al Jazeera
Featured on Al Jazeera
An unflinching portrait of physical labour in the 21st century.
The stark choice between a fascist or an imperialist course in Syria should be discarded for a third and better course.
Israel's propaganda machine carefully chooses its words to assert illegal ownership over Jerusalem and Palestine.
As Western fears grow over Iran's continuing nuclear programme, we ask how a military strike could impact the region.
<  > 
join our mailing list

Enter Zip Code
Go