Detroit's bankruptcy

Earlier this year, Detroit filed for Chapter 9 bankruptcy making it the largest municipal bankruptcy in American history. On Dec. 3 at 9 a.m., Judge Steven Rhodes will decide if the city can proceed with its bankruptcy. The ultimate decision will have huge implications for pensioners, bondholders, and ordinary residents, who are wondering if the city will be allowed to revise the terms of its long-term obligations.

Regardless of the judge's ruling, Detroit faces daunting challenges on both the revenue and expense side of the ledger. I recently looked at some of the documents relating to the bankruptcy, and was struck by how desperate the situation has become. Below are some of the more shocking facts I discovered.

1. Detroit's revenue, in inflation-adjusted dollars, fell 40% from 1962 to 2012.

2. The city currently has just 9,700 workers, yet has 21,000 retirees drawing benefits.

3. Detroit's population has declined 63% since 1950, including a 26% decline since 2000. As of December 2012, its population was 684,799 – down from 1,849,600 in 1950.

4. Unemployment has tripled since 2000. As of June 2012, it's 18.3%, which is more than double the national average.

5. The number of employed residents has dropped more than 53% since 1970.