Here is the part where S&P joins with Obama and blames the Tea Party:
Compared with previous projections, our revised base case scenario now assumes that the 2001 and 2003 tax cuts, due to expire by the end of 2012, remain in place. We have changed our assumption on this because the majority of Republicans in Congress continue to resist any measure that would raise revenues, a position we believe Congress reinforced by passing the act. Key macroeconomic assumptions in the base case scenario include trend real GDP growth of 3% and consumer price inflation near 2% annually over the decade.
http://blogs.wsj.com/marketbeat/2011/08/05/sp-downgrades-u-s-debt-rating-press-release/
They can all go eff themselves. THe 2008 banking crisis, part real and part very much contrived ala market crashes, were facilitated by the likes of Moody’s, S&P and a swooning, if not self-serving democrat cabal. They ensured 0bama’s election. And they are doing it again to get him re-elected. I will move to Phuket..and I won’t be pronouncing it Poo-ket.
Going Galt.
Otherwise, I refuse to endorse giving the spendalcoholics more alcohol.
During the debt ceiling fight, didn’t the dems argue that the debt ceiling increase was needed for money already spent? Yes. So for them to say that all of a sudden it’s the “Tea Party’s” fault is phony. Over just three years, Obama and his fellow thieves have spent five trillion dollars more than they had coming in as revenue. There are consequences to such irresponsibility, and this is one of them.
CUT SPENDING!
The free market is a lot smarter than S&P (who rated packaged loans to homeless people living in a cardboard box that Bawney Fwank and the CRA coerced them to make AAA)
Don’t expect 2 year Treasury rates to rise from 0.31% to Jimmy Carter 19% on Monday. You’ll have to give it some time.