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I'm from the Detroit region, and I would say Detroit is actually a great example, since it has been receiving bailout after bailout for many years. Not to mention the steady torrent of state and federal taxes that kept Detroit trudging along so far.
Here are a couple of recent bailouts.
And there are better and worse ways of spending money.
http://articles.latimes.com/2011/jan/03/business/la-fi-europe-rebuild-20110103