Question

What city was home to the largest municipal bankruptcy in American history?

a. Detroit
b. New York City
c. There has never been a municipal bankruptcy in the U.S.
d. Chicago

Answer 1

The largest municipal bankruptcy in American history occurred in Detroit.

Step-by-step explanation:

The city that was home to the largest municipal bankruptcy in American history is Detroit. Detroit filed for bankruptcy in 2013, mainly due to massive debt obligations and the inability to fulfill pension and healthcare obligations to city workers. The bankruptcy allowed the city to restructure its debt load and work towards economic recovery.