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US Cities Take Desperate Measures to Deal With Budget Crisis

As cities around the United States feel the tightening noose of economic reality, some of them are resorting to extreme measures.

Take Phoenix for example which recently instituted a 2% tax on food. Considered a necessity of life, nutritional food is normally one of the things sacrosanct enough to avoid taxes. However, desperate times cause for desperate measures. And Phoenix hopes to generate millions of dollars in tax revenue in order to keep essential services like police in tact.

Across the country from Phoenix is Harrisburg, the state capital of Pennsylvania. Faced with a nearly impossible task, the city council is considering various extreme measures such as taxing state legislatures (potentially illegal) and even declaring bankruptcy.

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