Fairfax County Refunds $171m of Bonds

This reminds me that a small portion of the folks who want to prevent the divdend tax repeal are local and state governments. If dividends become more attractive to (fixed income) investors (who we all know are low and middle class americans, largely retired or reaching that age), there will be even less demand for government bond issuance.

This becomes more glaring given the financial dilemma that most localities find themselves in -- who in their right mind would buy up some California or New York bonds anytime soon?