Question

Robert G. Flanders Jr., the state-appointed receiver for Central Falls, RI, said his city's declaration of bankruptcy had proved invaluable in helping it cut costs. Before the city declared bankruptcy, he said, he had found it impossible to wring meaningful concessions out of the city's unions and retirees, who were being asked to give up roughly half of the pensions they had earned as the city ran out of cash.
True or False

Answer 1

Answer: false

Explanation:

The alternative to the term of agreement is the declaration of bankruptcy, in which the cities can extract their pensions, it gives a much better alternative. It also increases the bargaining powers of the members of the city. It will help in extracting concessions from the government. It also increases the disagreement value of the city.