For the first time in history the U.S. became a debtor nation. The fed's, therefore, could not help the cities out either. The distribution of city services often has a spatial component involved in that often the advantaged receive services that the less affluent do not receive. There is often less police protection. The fiscal crises aggravated these inequities.
Some scholars dispute the notion that the cities practice fiscal discrimination.
They argue instead, that inequalities, in schools for example, occur because of different tax basis. Or they argue that the inequalities were the result of bureaucratic clerical errors. The inequality in education is well documented. There is also documented evidence that parks are placed in more affluent areas of town. Estimates vary .