I think this article has a good summary of cutbacks that are happening due to the recession. However, the article makes no attempt to tease apart what effects might be due to the recession, and what effects might be permanent. The long series of stories about local governments is interesting - I'm intrigued by what people cut back on when they run out of money. There is no question that this is the most serious recession in living memory, in the US. As such, the recession deserves a lot of attention. But it is a leap to go from "Some town in Ohio had to layoff several police officiers" to "This means the US is finished forever." (I am making up exaggerated quotes, which I think summarize the gist of the article.)
It is possible that the US is finished forever, but there is nothing in this article that convinces me.
It is possible that the US is finished forever, but there is nothing in this article that convinces me.