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$2 trillion error in S&P calculations: US (treasury challenging)
AFP/Breitbart ^ | 8-5-11

Posted on 08/05/2011 8:37:42 PM PDT by STARWISE

The US Treasury has hit back against a Standard and Poor's downgrade of its AAA credit rating, saying there was a $2 trillion dollar error in the agency's calculations.

"A judgment flawed by a 2 trillion dollar error speaks for itself," a Treasury spokesman said, just after the US lost its AAA rating for the first time ever and was downgraded to a AA+.

*snip*

Moody's and a third ratings agency, Fitch, say they continue to study the deficit plan to see if the US merits being kept in their ranks of AAA countries.

Earlier, an official close to the discussions with S&P said: "There are deep and fundamental flaws with the S&P analysis."

(Excerpt) Read more at breitbart.com ...


TOPICS: Business/Economy; Front Page News; Government; Politics/Elections
KEYWORDS: aaarating; currency; default; economy; error; sp; treasury; zimbabwe
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1 posted on 08/05/2011 8:37:49 PM PDT by STARWISE
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To: STARWISE

Typical commie tactic. Try and discredit all outside experts other than your own.

Obama is a vile and evil man.


2 posted on 08/05/2011 8:39:23 PM PDT by Carling (At some point, those surrounding Obama have to realize that they are working for a psychopath)
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To: STARWISE

that 2 Trillion really matters on the 100 Trillion we owe....sarcasm intended.


3 posted on 08/05/2011 8:39:27 PM PDT by Freddd (NoPA ngineers.)
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To: STARWISE

It’s always somebody else’s fault with these gangsters, isn’t it?


4 posted on 08/05/2011 8:40:09 PM PDT by clintonh8r (Happy to be represented by Lt. Col. Allen West (this tagline under review))
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To: STARWISE

It’s because the government counts reductions in increases as cuts and real accountants do not.


5 posted on 08/05/2011 8:40:09 PM PDT by Ingtar (Together we go broke (from a Pookie18 post))
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To: Ingtar
It’s because the government counts reductions in increases as cuts and real accountants do not.

Good point!

6 posted on 08/05/2011 8:41:00 PM PDT by tsowellfan (Let's make the 2012 campaign: "The War on Error")
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To: STARWISE

It’s because the government counts reductions in increases as cuts and real accountants do not.


7 posted on 08/05/2011 8:41:29 PM PDT by Ingtar (Together we go broke (from a Pookie18 post))
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To: STARWISE

The Treasury has been cookin’ the books for years and years and they accuse S&P of doing the same? Pot meet kettle!


8 posted on 08/05/2011 8:41:53 PM PDT by Bushbacker1 (I miss President Bush greatly! Palin in 2012! 2012 - The End Of An Error! (Oathkeeper))
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To: STARWISE

Fox news said even though there was a challenge over the math, they downgraded us anyway.


9 posted on 08/05/2011 8:42:50 PM PDT by sheikdetailfeather ("Kick The Communists Out Of Your Govt. And Don't Accept Their Goodies"-Yuri Bezmenov-KGB Defector)
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To: STARWISE

“Alinsky-nomics”


10 posted on 08/05/2011 8:43:10 PM PDT by Cringing Negativism Network (We are not tea partiers ... we are good tea partiers. Life-long tea partiers)
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To: STARWISE

Its ALWAYS someone else’s fault.
Next time it will be BIGFOOT’s fault.


11 posted on 08/05/2011 8:43:19 PM PDT by Zathras
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To: STARWISE

We have a guy who cheated on his income taxes making a math challenge? That’ll fly.


12 posted on 08/05/2011 8:43:28 PM PDT by SueRae (I can see November 2012 from my HOUSE!!!!!!!!)
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To: Carling

Vile, beyond description. That he’s presided over
this debasement .. first time in our these momentous
and proud 235 years.

DAMN him!


13 posted on 08/05/2011 8:44:28 PM PDT by STARWISE (The overlords are in place .. we are a nation under siege .. pray, go Galt & hunker down)
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To: Carling

ditto.

where were our pubies?


14 posted on 08/05/2011 8:44:28 PM PDT by ken21 (ruling class dem + rino progressives -- destroying america for 150 years.)
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To: STARWISE

Is the regime using tactics its usually reserved to use against conservatives and TEA partiers, now focusing them on S&P?


15 posted on 08/05/2011 8:44:51 PM PDT by C210N (0bama, Making the US safe for Global Marxism)
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To: STARWISE

The only thing worse than having Geithner as the head of Treasury is the rumor that Corzine would be the next nominee.


16 posted on 08/05/2011 8:45:25 PM PDT by SueRae (I can see November 2012 from my HOUSE!!!!!!!!)
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To: STARWISE

Thus speaketh turbotax timmy.


17 posted on 08/05/2011 8:46:59 PM PDT by meyer (We will not sit down and shut up.)
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To: SueRae
We have a guy who cheated on his income taxes making a math challenge? That’ll fly.

How do you put a tax cheat in charge of Treasury? That alone should disqualify Obama from office.

18 posted on 08/05/2011 8:47:32 PM PDT by Rocky (REPEAL IT!)
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To: STARWISE

Well, it sure ain’t NObama fault! Nope, no sir, not his fault, no way, no how, no sir.

/s


19 posted on 08/05/2011 8:47:48 PM PDT by chris37 (representative)
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To: ken21

Where are the pubbies? Has anybody made a statement on this debacle? Obama’s tactic seems to be and destroy the entire bond credit rating system, which while bold, is not a surprise at all.

IT’S ON, AND THE GOP IS GOLFING.


20 posted on 08/05/2011 8:48:16 PM PDT by Carling (At some point, those surrounding Obama have to realize that they are working for a psychopath)
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To: C210N

Obama is going to get serious about this downgrade...Holder will be instructed to file a RICO case against S&P.


21 posted on 08/05/2011 8:49:02 PM PDT by dogcaller
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To: STARWISE

If it’s because of a $2 trillion error, how can it be the republicans’ fault?


22 posted on 08/05/2011 8:49:52 PM PDT by Terry Mross (I'll only vote for a SECOND party.)
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To: STARWISE

Translation. You overlooked 2 trillion worth of gimmick savings you need to consider to restore our AAA rating. If our supporters and media apologists will buy it, why won’t you?


23 posted on 08/05/2011 8:49:58 PM PDT by chuckee
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To: STARWISE

24 posted on 08/05/2011 8:49:58 PM PDT by Brandonmark (2012: Our Hope IS Change!)
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To: Carling

Shh, they’re sleeping, after the absolutely grueling debt negotiations.


25 posted on 08/05/2011 8:50:22 PM PDT by Cringing Negativism Network (We are not tea partiers ... we are good tea partiers. Life-long tea partiers)
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To: C210N

Stansard & Poor...... obviously a racist organization.


26 posted on 08/05/2011 8:52:59 PM PDT by schaef21
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To: STARWISE

S & P better prepare for the SWAT raid that is coming shortly.


27 posted on 08/05/2011 8:54:26 PM PDT by microgood
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To: chris37
Well, it sure ain’t NObama fault! Nope, no sir, not his fault, no way, no how, no sir.

Nope. It sure isn't. He "inherited this mess," don'tcha know?

28 posted on 08/05/2011 8:56:11 PM PDT by Allegra (Hey! Stop looking at my tagline like that.)
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To: Carling
"Obama is a vile and evil man.

Oh so true but please remember he is not alone. He is the current face of evil but the Commies have many more in their stable. Don't think that by getting rid of Obama all our problems will be solved. We have to root out the entire Communist organization and all who are involved with it.

29 posted on 08/05/2011 8:57:04 PM PDT by Graneros ("It is no exaggeration to say that the undecided could go one way or another.")
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To: ken21
where were our pubies?

Boehner's crying about it right now.

30 posted on 08/05/2011 8:58:58 PM PDT by Prokopton
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To: ken21
"where were our pubies?

Have you checked Obama's pockets lately?

By the way I think you meant Pubbies. At least I hope that's what you meant.

31 posted on 08/05/2011 9:00:10 PM PDT by Graneros ("It is no exaggeration to say that the undecided could go one way or another.")
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To: schaef21

Here is another case of projection: Accusing S&P of $2 T errors, when it happens to author these “errors” as well (ie: 9.2 -> 9.1% unemployment, when its near 20%; optimistic projections downscored by the GAO to a pittance)


32 posted on 08/05/2011 9:02:25 PM PDT by C210N (0bama, Making the US safe for Global Marxism)
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To: STARWISE

Did they multiply by 57 states instead of 50?


33 posted on 08/05/2011 9:03:44 PM PDT by vbmoneyspender
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To: STARWISE

Not a problem. Obama will start working on illegal immigrant amnesty next week and solve everything.


34 posted on 08/05/2011 9:05:36 PM PDT by eyedigress ((Old storm chaser from the west)?)
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To: STARWISE
Did Tax Cheat Timmy run the numbers on his puter ?
35 posted on 08/05/2011 9:05:56 PM PDT by justa-hairyape
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To: Zathras
Next time it will be BIGFOOT’s fault.

I believe in Bigfoot more than I than I believe the uh, accounting done by the White House.

Earlier, an official close to the discussions with S&P said: "There are deep and fundamental flaws with the S&P analysis."

The difference between this "insider" and Bigfoot is that both are elusive, except that there has been more reported sightings of the big hairy monster (No, not Michelle Obama) than the end of our fiscal woes.

36 posted on 08/05/2011 9:08:10 PM PDT by He Rides A White Horse (((((unite)))))
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To: STARWISE

So the Treasury actually thinks we deserve a AAA rating?


37 posted on 08/05/2011 9:08:19 PM PDT by tobyhill (Real Spending Cuts Don't Require Increasing The Debt)
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To: ken21
where were our pubies?

Our...err...what?

Sorry...couldn't resist.

38 posted on 08/05/2011 9:09:08 PM PDT by Allegra (Hey! Stop looking at my tagline like that.)
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To: Graneros
The FBI needs to get its act back together and go after the Communists like they did during the 1950's, which, not coincidentally, is the decade the Left loves to hate. BTW, Monday should be very interesting Why does all this crap always come out on Friday evening???;)
39 posted on 08/05/2011 9:11:31 PM PDT by Frank_2001
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To: Terry Mross

I wonder if that two trillion is GAAP or non-GAAP. On the other hand, the government only forces all organizations other than itself to use GAAP calculations...

On that subject, what would happen if some accounting firm actually audited the government as though it was a Fortune 500 company??? I’d love to read that report...


40 posted on 08/05/2011 9:13:43 PM PDT by The Antiyuppie ("When small men cast long shadows, then it is very late in the day.")
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To: ken21

“where were our pubies?”

Just checked...same place they’ve been for many years.

I’m sorry. Could not resist.


41 posted on 08/05/2011 9:16:25 PM PDT by The Antiyuppie ("When small men cast long shadows, then it is very late in the day.")
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To: tobyhill

Deserve... nah, but almost certainly they think we’re entitled


42 posted on 08/05/2011 9:16:57 PM PDT by Teacher317 (really?)
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To: ken21
where were our pubies?

I'm afraid if you don't know the answer to that, there's little hope for you.

43 posted on 08/05/2011 9:21:13 PM PDT by ROCKLOBSTER ( Celebrate Republicans Freed the Slaves Month.)
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To: Teacher317; All

Then .. the WashPost just has to put this on their front page (from a NYSlimes poll, naturally).

The incredible shrinking Tea Party
Number of supporters are at an all time low.

http://www.washingtonpost.com/blogs/plum-line/post/the-incredible-shrinking-tea-party/2011/03/03/gIQAJkxewI_blog.html

ROFL!!

Wake up, buy a clue, Washington! The fight goes on BECAUSE of the Tea Party, which I predict will be growing ever larger and more rebellious.


44 posted on 08/05/2011 9:21:23 PM PDT by STARWISE (The overlords are in place .. we are a nation under siege .. pray, go Galt & hunker down)
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To: STARWISE

The IMF considers the US debt about $203T, not just the $14T+ officially claimed, and operates on that basis with the US. Look up Kotlikoff’s figures. I do not think S&P erred at all.

Weiss Ratings (high quality bank and credit union rater) beat the bunch to the punch with their rating of the US as C-minus, equivalent to just above junk in S&P terms, recently. S&P has been kind. Govt., likes teleprompters, and wishes S&P to operate with one.

Weiss rating article:

http://ml-implode.com/viewnews/2011-07-15_WeissRatingsDowngradesUnitedStatesDebttoCMinus.html

Weiss Ratings Downgrades United States Debt to C-Minus

2011-07-15 — weissratings.com

“Weiss Ratings, an independent rating agency of U.S. financial institutions and sovereign debts, has downgraded the debt of the United States government from C to C-minus.

The C-minus rating for the U.S. reflects a continued deterioration in the weaknesses cited in the Weiss Ratings release of April 28, 2011, including heavy debt burdens, shaky international stability, and poor economic health.

Weiss Ratings senior financial analyst Gavin Magor commented: “Our downgrade today is not contingent on the outcome of the debt ceiling debate in Washington. It is driven exclusively by the numbers, which indicate that, in addition to a decline in the long-standing weaknesses we noted three months ago, the U.S. has already lost the golden halo that helped guarantee liquidity and acceptance of its government securities in global markets.”

On the Weiss Ratings scale, which ranges from A (excellent) to E (very weak), a C-minus rating is the approximate equivalent of a triple-B-minus on the scales used by other credit rating agencies, or approximately one notch above speculative grade (junk).

About Weiss: By adhering to its independent business model, Weiss outperformed Standard and Poor’s, Moody’s, A.M. Best and Duff & Phelps (now Fitch) in warning of future life and health insurance company failures according to a 1994 study by the U.S. Government Accountability Office (GAO), while also outperforming its competitors in identifying the safest insurers, according to its follow-up study using the GAO’s research methodology.

http://weissratings.com/Login.aspx?a=r

U.S. Sovereign Debt Rating Close to “Junk”

by Weiss Ratings | July 14, 2011

“Weiss Ratings is very close to downgrading the sovereign debt rating of the United States one more notch to a ‘C –’, which will put it just one notch above junk,” Martin Weiss, President of Weiss Ratings told CNBC on Wednesday.

“In April, Weiss Ratings gave the U.S. sovereign debt rating a ‘C’. A ‘C’ is equivalent to approximately a triple-B on the S&P, Moody’s and Fitch scales. Its two notches above junk, Weiss told CNBC in May. Weiss added that while the rating was weak, the debt situation was not in a danger zone that should trigger panic.

In yesterday’s interview with CNBC, Weiss responded to Moody’s Rating Agency placing their U.S. triple-A rating on review for a downgrade in the coming weeks on mounting concern that legislators will fail to raise the debt limit in time to avert potentially drastic effects.

The U.S. government is deadlocked in negotiations to raise the $14.3 trillion debt ceiling by August 2 before a potential default. President Obama announced on Tuesday, that failure to increase the debt ceiling would jeopardize payments to Social Security and Veteran’s benefit recipients.

Weiss believes a downgrade by the large rating agencies is long overdue, noting that the top-notch standard assigned to the U.S. is unfair to investors and savers as they are not being compensated for the level of risk they are taking.

“The U.S. has a huge debt load compared to most other countries,” he said. “And, has a very unstable economy over the last 10 years compared to most other countries.” The U.S. ratio of debt-to-gross domestic product is currently over 90 percent.

“The only thing that’s really holding up the U.S. debt rating is a widespread international acceptance for U.S. Treasury securities and nice strong liquid market. But even that might be coming into question,” according to Weiss.

Weiss is hopeful that a last minute deal will fend off a potential crisis for U.S. and world markets. He pointed out that three years ago the legislature’s failure to pass a bailout package sent markets into a tailspin, and forced Congress to sign off on it.

He said, “We might see a similar scenario here in the debt ceiling debate, a failure at first and then a desperate deal in the thirteenth hour to rescue the situation at the last minute.”

Based on the government’s continued failure to agree on terms for raising the U.S. debt ceiling and the looming deadline, Weiss Ratings is reviewing its current ‘C’, rating signaling consumers that a ‘C-’ rating might be a fairer assessment under the circumstances.”


45 posted on 08/05/2011 9:22:13 PM PDT by givemELL (Does Taiwan eet the Criteria to Qualify as an "Overseas Territory of the United States"? by Richar)
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To: STARWISE

Well, at least we now know what the spin will be from the Obammunists: it’s all really just a little math error by ignorant fools at Standard & Poors, nothing to worry about folks, move along now, those fools at Standard & Poor’s don’t know how to use a calculator.

No doubt the Obammunists know a heck of a lot of really ignorant folks in the U.S. will buy their Big Lie about a “math error”. One of the big advantages of an uneducated populace is that so many will believe the lies of their fascists führers.


46 posted on 08/05/2011 9:23:27 PM PDT by catnipman (Cat Nipman: Vote Republican in 2012 and only be called racist one more time!)
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To: ken21

Clarence Thomas’ Coke can?


47 posted on 08/05/2011 9:26:29 PM PDT by ROCKLOBSTER ( Celebrate Republicans Freed the Slaves Month.)
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To: ROCKLOBSTER

Elect the first black president and he f*** ups the credit rating for the first time in US history. If you’d written a script about this last week, you’d have been called a racist.


48 posted on 08/05/2011 9:37:53 PM PDT by bneal
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To: STARWISE

>>DAMN him!<<

.
Damn those who voted for him. Their hope for change has been fulfilled.


49 posted on 08/05/2011 10:06:21 PM PDT by 353FMG
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To: STARWISE

Obviously, they forgot to count Obama’s stash. It’s freshly printed $100,000,000,000 bills.


50 posted on 08/05/2011 10:34:27 PM PDT by eggman (Presidential erase - Nov. 6, 2012. The end of an error.)
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