Bankruptcy Rarely Offers Easy Answer For Counties.

BIRMINGHAM, Ala. -- When Alabama's Jefferson County filed for the largest municipal bankruptcy in American history this week, it looked a little like another domino had fallen. Harrisburg, the capital of Pennsylvania, filed for bankruptcy last month. The tiny city of Central Falls, R.I., filed in the summer. Hamtramck, Mich., tried to declare bankruptcy last year but was stopped by the state. From coast to coast, cities have had to cut services, lay off workers and raise taxes as the downturn has lingered. [ABSTRACT FROM AUTHOR]