ran 3.1 miles
United States of America Long-Term Rating Lowered To “AA+” On Political Risks And Rising Debt Burden; Outlook Negative
Here are some excerpts from the S&P report:
“The downgrade reflects our opinion that the fiscal consolidation plan that Congress and the Administration recently agreed to falls short of what, in our view, would be necessary to stabilize the government’s medium-term debt dynamics.”
“The outlook on the long-term rating is negative. We could lower the long-term rating to ‘AA’ within the next two years if we see that less reduction in spending than agreed to, higher interest rates, or new fiscal pressures during the period result in a higher general government debt trajectory than we currently assume in our base case.”
“The political brinksmanship of recent months highlights what we see as America’s governance and policymaking becoming less stable, less effective, and less predictable than what we previously believed.”
“A new political consensus might (or might not) emerge after the 2012 elections, but we believe that by then, the government debt burden will likely be higher, the needed medium-term fiscal adjustment potentially greater, and the inflection point on the U.S. population’s demographics and other age-related spending drivers closer at hand.”
Check out the full report here.
Get ready. The only possible liberal response to this will be higher taxes. These guys are going to stand behind their podiums and in front of cameras telling us with straight faces, “We warned you all that we should have raised taxes. We would not be in this position if we had increased federal revenue. And, at last, it is the Republican’s and the Tea Party’s fault for not compromising.”
More blame. And there will not be a shred of fault attributed to anything he has done over the past three years. Not even after saying in 2009 that he would be a one-term president if the economy was not rebounding by the end of the third year of his term. Tick tock, Barack.
1,063.6 miles to go.
United States of America Long-Term Rating Lowered To “AA+” On Political Risks And Rising Debt Burden; Outlook Negative
Here are some excerpts from the S&P report:
“The downgrade reflects our opinion that the fiscal consolidation plan that Congress and the Administration recently agreed to falls short of what, in our view, would be necessary to stabilize the government’s medium-term debt dynamics.”
“The outlook on the long-term rating is negative. We could lower the long-term rating to ‘AA’ within the next two years if we see that less reduction in spending than agreed to, higher interest rates, or new fiscal pressures during the period result in a higher general government debt trajectory than we currently assume in our base case.”
“The political brinksmanship of recent months highlights what we see as America’s governance and policymaking becoming less stable, less effective, and less predictable than what we previously believed.”
“A new political consensus might (or might not) emerge after the 2012 elections, but we believe that by then, the government debt burden will likely be higher, the needed medium-term fiscal adjustment potentially greater, and the inflection point on the U.S. population’s demographics and other age-related spending drivers closer at hand.”
Check out the full report here.
Get ready. The only possible liberal response to this will be higher taxes. These guys are going to stand behind their podiums and in front of cameras telling us with straight faces, “We warned you all that we should have raised taxes. We would not be in this position if we had increased federal revenue. And, at last, it is the Republican’s and the Tea Party’s fault for not compromising.”
More blame. And there will not be a shred of fault attributed to anything he has done over the past three years. Not even after saying in 2009 that he would be a one-term president if the economy was not rebounding by the end of the third year of his term. Tick tock, Barack.
1,063.6 miles to go.
