Unfunded pension liabilities keep growing and this seems alarming to both pension holders but also Municipal Bond holders.
I would like to know how large this problem is to better price Munis and understand their risk. Unfunded pension liabilities (around $3.8 trillion using the market based discount rate) are growing but is this a very large burden or not? This number is based on a discount rate that maturity matches pensions liabilities with today's yield curve.
To answer this I would like to know what is the total liabilities of state and local governments but can't find it anywhere.