Detroit files for bankruptcy

Detroit used to be home of the once-thriving American automobile industry. Known as Motor City, USA, the city has now applied for bankruptcy. For decades it has been struggling with spiralling debts, which now total US$18.5 billion (14 billion Euros).

While General Motors still has its headquarters there the city today is in a sorry state. Urban decline is everywhere. Some 70,000 properties lie abandoned. People have moved out to the suburbs or beyond due to no work in Detroit. The once great city is now regarded as an economic basket case. Its public services are near collapse.

Category: Business / Economic / Detroit – USA