Well, of course, in space unproductive people i.e. the retired who aren't billionaires would be returned to Earth because they'd be taking up valuable space :)
Well, they'd have to be fairly self-sufficient in consumables, or bad shit would happen. Are they autarks, or do they run more like the ISS, relying on a Progress ship every 3 months or they run out of air?
Positing near-Autarky, they might be able to cope by defaulting on their debt and turning into Godless Commie culture-niks for a few decades while they try to build up some credit based on a trade surplus. But if they need to import essentials things could turn very unpleasant. Very unpleasant indeed.
The decay of Detroit's infrastructure has been underway for decades--streets flood when it rains, traffic lights haven't worked for a long time, cops take literally hours to respond, etc. etc. I assume that the version of this in space would be, by the time the emergency manager declares bankruptcy, everybody's been dead for years.
"Down and Out on Ellfive-Prime" was a hobos-on-a-space-station story with tramps roasting guinea-pigs rather than sparrows on curtain-rods. Think "Elysium" with fewer explosions and more technocracy. I think it was published in Omni Google Google ah Dean Ing was the perpetrator, 1979.
Well, Detroit's bankruptcy is largely due to depopulation. Basically, half of the city moved out, but the city didn't shrink.
If the space-hab were reasonably close to self-sufficient in basic supplies (air, food, water recycling) half the population moving out might be a non-event, or at least not a dramatic event.
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(I believe Detroit's problem is voting down subway construction in an early 20th century plebiscite.)
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Positing near-Autarky, they might be able to cope by defaulting on their debt and turning into Godless Commie culture-niks for a few decades while they try to build up some credit based on a trade surplus. But if they need to import essentials things could turn very unpleasant. Very unpleasant indeed.
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Bankruptcy schmankruptcy
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If the space-hab were reasonably close to self-sufficient in basic supplies (air, food, water recycling) half the population moving out might be a non-event, or at least not a dramatic event.
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--Dave