Govt official: US expecting S&P downgrade

[villager]

Source: ABC

Govt official: US expecting S&P downgrade

A government official tells ABC News that the federal government is expecting and preparing for bond rating agency Standard & Poor’s to downgrade the rating of US debt from its current AAA value.

Officials reasons given will be the political confusion surrounding the process of raising the debt ceiling, and lack of confidence that the political system will be able to agree to more deficit reduction. A source says Republicans saying that they refuse to accept any tax increases as part of a larger deal will be part of the reason cited.

The official was unsure if the bond rating would be AA+ or AA.

<snip>

Read more: http://blogs.abcnews.com/politicalpunch/2011/08/govt-official-us-expecting-sp-downgrade.html

[nadinbrzezinski]

1. That should be breaking soon

[alcibiades_mystery]

2. In much the same way that Greece got tagged as a country full of tax cheats

I suspect the United States looks very much like a country full of tax cheats to people from other countries, given the low marginal rates, ludicrous institutionalized loopholes, and general social value of tax avoidance whenever possible.

The US is a tax cheat nation. There should be no surprise that S&P would downgrade the debt of a nation where tax avoidance has become an institutionalized activity.

[Taverner]

3. Thanks Republicans

[Name removed]

4. Deleted message

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[Goldstein1984]

5. Social contract folks

If you're in the vehicle, you're either steering or along for the ride.

Retirement accounts benefit from deficit spending and tax breaks to the companies "we" invest in.
The deficit and debt grow from deficit spending and tax breakes to the companies "we" invest in.
The deficit and debt take the toll that deficit and debt take.
And "we" are shocked with the card house comes crashing down, even as "we" helped build it.

What did you think would happen?

We're concerned about going from AAA to AA+, when we should really be concerned that there isn't enough political clout out there to prevent a rating that reflects a worse reality.

This is so interesting to watch.

So sad that there's only enough lifeboats for economic passengers who really matter.

[defendandprotect]

6. So we'll have to pay higher rates on our DEBT ... however S&P is also suspect in this ....

there was some info posted the other day on S&P -- anyone recall?


PLUS in having to borrow the $120 BILLION that Obama allowed the wealthy

to keep in tax cuts, we had to seemingly pay an additiona 1/2 % to borrow

the money -- think Hartmann reported on that.

[plumbob]

10. Yes, these are the same ratings folks who certified mortgage securities

made from shit as absolute gold, so we know we can trust their judgment and never suspect that the raising of interest rates will earn their capitalist masters even more interest on our national debt.

Right?

[ProfessionalLeftist]

7. This is due to Republicans' extortion & hostage-taking - spending weeks

extracting their demands ie: no taxes for the wealthiest and most profitable while critically needed services for the rest are cut (services the rest of us paid for).

'Republican' ought to be spelt: 'C R I M I N A L' - because they are.

[think]

8. The Republicans can take all the credit for this fiasco

Fiscal screw ups that they are. The term "fiscal conservative" is just a bullshit line for suckers who buy into their empty rhetoric. They deserve to be branded as the party of FISCAL IRRESPONSIBILITY!...

[indepat]

9. When irresponsible politicians work this hard for a downgrade, their efforts should not go

unrewarded. :patriot:

[Gin]

11. S&P provided triple A ratings on crappy mortgages that got

us in the financial mess.....they seem to go with the wind/dollars...wonder who is behind their curtain with this news.

[indepat]

13. S&P might consider treading softly, for their past peccadilloes might come back to bite them in

the ass. :patriot:

[Hosnon]

12. Screw them. Their credibility on credit crashed with the economy. nt.

[KamaAina]

14. Standard & Poor

That's the new standard. We're poor. :cry:

[Gin]

15. just heard a guy on CNN read S& P report which said medicare

is the reason for all this...and it wasn't touched in recent agreement...and needs to be....this looks more and more like someone behind the curtain pulling the strings to help the thugs.

[defendandprotect]

16. Wealthiest country ever can't afford Medicare for it's elederly citizens -- !!!