by Chris Haire
The folks at Standard and Poor's hate democracy.
Really, that's the only opinion you can come to now that the S&P is publicly discussing its decision to lower the United State's credit rating from AAA to AA+.
Either that or the gang at the S&P thinks the Republicans and Democrats in D.C. are unable to address the issues affecting the American public in a timely or meaningful way.
Instead, they engage in a debate that is less concerned with solving problems than with appealing to their respective bases by offering them easily digestible soundbites that only further the partisan divide splitting this great but financially overextended nation of ours.
In other words, the president and each and every member of Congress are engaged in a game of ill-conceived one-up-manship that has disastrous consequences for America itself.
Here's what the New York Times said:
The company, one of three major agencies that offer advice to investors in debt securities, said it was cutting its rating of long-term federal debt to AA+, one notch below the top grade of AAA. It described the decision as a judgment about the nation’s leaders, writing that “the gulf between the political parties” had reduced its confidence in the government’s ability to manage its finances.
“The downgrade reflects our view that the effectiveness, stability, and predictability of American policymaking and political institutions have weakened at a time of ongoing fiscal and economic challenge,” the company said in a statement.
Here's what S&P Managing Director John Chambers had to say on Anderson Cooper:
And another report from Politico:
S&P managing director John Chambers told reporters on a Saturday conference call that the toxic mix of a listless economy and political infighting will cause government debt to grow.
“Compared to some other highly rated governments, the U.S. government does not have the proactive ability to put public finances on a firm footing,” Chambers said.
His colleague David Beers said the partisan discord increases the risk that Washington will not achieve effective policy remedies.
“For that reason, there’s a lot of uncertainty about the future debt burden,” Beers said.