#6 – New York City Bailout

December 9, 1975

President Gerald R. Ford authorizes loans of 2.3 billion dollars to New York City. For almost a year, he refuses to give aid to New York City hoping that it will force New York to restore its own fiscal situation without the government having to bail it out. President Ford’s slow response to New York City’s request for immediate aid is successful as it compelled the city to reorganize and streamline its budget thereby avoiding bankruptcy.

New York City Bailout