(a) The "collapse" you refer to presumes that neither state will be able to tax their way out of its problems, when in fact either could do so without coming close to the tax burdens of European countries that provide similar benefits --- the implied idea here is that the states are so competitive that people would simply move to Nevada or Indiana to escape those taxes. Will they? People who live in Evanston are unlikely to enjoy Munster.

(b) In both states, the "benefit" that's been financed on the backs of future generations is generous, poorly-regulated defined-benefit pension plans for state employees. I agree that's a huge problem, but it's not the same kind of problem as financing for Medicaid, or, really, for social services of any sort.