The city of Stockton, Calif., filed for federal bankruptcy protection Thursday, becoming the largest city in U.S. history to do so.
Some worry it's part of a wave. Six other municipalities have filed for bankruptcy protection this year. That's roughly on track with last year's pace, which saw 13 bankruptcies — the most in two decades.
A wave of municipal bankruptcies could be the country's next big financial crisis, several Wall Street analysts have warned.