Part 5/7:
Amidst these discussions, political figures like Mayor Eric Adams have promised to reduce New York City's living costs. However, skepticism remains. The current trajectory suggests that such promises may lead to increased taxation to fund public services, which could push residents—and businesses—away, risking a financial spiral that could precipitate the city's bankruptcy within the next few years.
The concern is that Mayor Adams might resort to income redistribution—raising taxes on the wealthy and businesses—resulting in economic stagnation. As tax revenue declines with an exodus of high earners, the city’s fiscal health risks deteriorating further, leading to a potential cycle of debt and reduced public services.