Day of Reckoning

SUBHEAD: Here's that must-watch 60 Minutes segment on the finances of the states with Merideth Whiteny. By Joe Weisenthal on 20 December 2010 for Business Insider - (http://www.businessinsider.com/60-minutes-on-state-budgets-2010-12) Image above: Still frame of Meredith Whitney from video below.

Here it is, what everyone will be talking about today.

Says Meredith Whitney: This is the other big crisis besides housing, and the scariest part, she says, is the level of complacency.

Also featured is Chris Christie: "The day of reckoning has arrived."

The focus on the budget problems facing Illinois, which has had to delay payments to all kinds of parties, is definitely worth watching.

As for specifics, Whitney predicts a "spate" meaning 50 or more defaults needed, and suspects the big test will come when bonds need to be rolled over in the spring.

Read more: http://www.businessinsider.com/60-minutes-on-state-budgets-2010-12#ixzz19L9E5vqU

Video above: 60 Minute segment with Merrideth Whitney. From (http://www.cbsnews.com/video/watch/?id=7166293n). See also: Ea O Ka Aina: Muni Defaults in 2011 12/21/10 .