Cities and states across the country are taking hits to their financial pictures — earlier this month KJZZ reported on how Phoenix saw over a $20 million budget surplus turn into roughly that much of a deficit over the span of a few weeks.
But how do those shortfalls — and the efforts states and cities have to take to close them — affect their credit ratings and borrowing capacities?
The Show spoke with Lori Treviño, an analyst on the Local Government Team for Moody’s Investors Service, about what this does for credit scores and governments’ abilities to borrow.
