Touch, yes. Rape them away just because the Republicans are willing to destroy the middle class to win an election? Forget it.
U.S. Credit Rating Downgraded.
- Thread starter Yui108
- Start date
Touch, yes. Rape them away just because the Republicans are willing to destroy the middle class to win an election? Forget it.
Well, that's what S&P was basing their original projection on. If you have a problem with that, take it up with S&P or the CBO.
Anyway, reading the comments on CNN and Fox had me lol'ing. Just a few days ago, Gallup released a poll in which 58% of Democrats favored the debt agreement (28% disapproved) compared to 33% and 26% of Independents and Republicans favoring it, respectively, (with 50% and 64% disapproving, respectively). But if you read the comments on those sites, it's a lot of "Blame the GOP!". Ah, fickle people.
What are you talking about?
Ahovking
Cyber Nations
of cause not i dont want the U.s to be downgraded but no one ever listens
TopGearFanatic
Duke of St. Louis
He was too busy working on his healthcare plan.
Ahovking
Cyber Nations
............try 1997
Tani Coyote
Son of Huehuecoyotl
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- 15,191
To be fair, the Democratic 60-seat majority was an illusion - Ted Kennedy wasn't present for most of it.
So really, they usually only had 58 or 59 most of the time, and 59 was very brief as well.
As such, the Senate was gridlocked.
You need 60 Senate seats to govern with absolute power in America, and Obama didn't have that in reality.
Even if he did, the Democrats are not some massive monolithic bloc anymore than the USSR and China, both being Communists, were friendly. They each represent diverse interests. On paper, the Democrats have a lot of power - larger membership, frequent rule of Congress - but in reality, they are so riddled with infighting that they rarely get things done.
Ahovking
Cyber Nations
An healthcare plan which will increase the U.s debt (which has cause their downgrade) by 3-8 trillion dollars and which most small U.s Business will not be able to afford,
TopGearFanatic
Duke of St. Louis
But the Republicans are the only people that seem to be at fault...
Ahovking
Cyber Nations
both party's are doing the same, the problem is in most country like Australia we have one party which likes to spend lots and we have another which likes to save pay off debt and so on the problem is both of the american party's like to spend lots not dont really like stopping the spending cutting back or in other words TOUGH LOVE
S&P will probably reinstate the U.S.' AAA rating sometime next week amid tons of pressure from various governments and financial institutions. Or, people will just ignore the S&P and continue to treat the U.S. as it has a AAA rating.
madviking
north american scum
Naive question: who or what gives the S&P, Moody's, and Fitch their power?
TopGearFanatic
Duke of St. Louis
They symbolically downgrade each other.
Ahovking
Cyber Nations
Moodys and S&P we caught asleep (caught off guard) when the U.s recession started, to me they lost all their credibility but the Chinese Credit rating agency was not caught off guard by the recession and was the first to downgrade the U.s i wouldn't be worrying about Moodys and S&P just at the moment
GoodGame
Red, White, & Blue, baby!
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It's not power per se. It's basically a financial service to use some sort of formula to rate products. It's essentially the same thing as an investment service. E.g. Meryl Lynch rates corporations, just like any other investor. The theory in some eyes is that the Investment company has better formulas, experience, etc.. so will predict correctly.
Same thing all the way back to ancient Greek Oracles. If you have faith/conviction, you will pay for that service when in need. Investors want to know where to place their money to make a profit, and some choose to believe the word of an investor service such as Moodys/S&P.
What's interesting is who rates the raters, especially if their formulas differ? And who would you give better credence to base on the rating scheme. But obviously you can't penalize them for having a particular system of logic to downrate/uprate. It's just free speech and business. And you don't blame the messenger just because the message wasn't one that you want to hear.
And Ahovking brings up an excellent point, but I wouldn't hold it against them forever. Was there evidence that they failed to complain before the housing bubble because of political collusion?
madviking
north american scum
But why are they such a big deal? Couldn't I create the madviking Bond Rating Corp. and start rating nations' bonds?
GoodGame
Red, White, & Blue, baby!
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Sure but like Walmart, can you grow it up from a mom and pop operation? Got something to sell the competitors don't already?
madviking
north american scum
Sure but like Walmart, can you grow it up from a mom and pop operation? Got something to sell the competitors don't already?
So their power is derived from the fact that's only three of them?
BasketCase
Username sez it all
Take a look at what happened to entitlement spending in Greece. That is what will happen in the U.S. if the deficit spending doesn't stop--your precious social programs will be raped away anyway. Not by Republicans, not by Democrats, and not by the Tea Party. It will happen no matter what. The only thing anybody has any control over is whether those programs get cut or crash completely.
The Republican solution will be less damaging to the poor, and holding Obama hostage was the right thing to do.
Say_my_name
Warlord
There are more than three, it's just that S&P/Fitch/Moodys are the biggest/oldest/most established ones.
