S&P Downgrades US Debt Rating to AA+ For First Time in History; Mostly Blames Teapublicans

[sasha031]

Earlier this evening, Standard and Poors downgraded the U.S. long-term sovereign credit rating from AAA to AA+. Why? S&P's reasoning says it all:*"We lowered our long-term rating on the U.S. because we believe that the prolonged controversy over raising the statutory debt ceiling and the related fiscal policy debate indicate that further near-term progress containing the growth in public spending, especially on entitlements, or on reaching an agreement on raising revenues is less likely than we previously assumed and will remain a contentious and fitful process."

In other words, the Republicans and Tea Partiers holding the debt ceiling increase hostage to their demands did not go over well with Standard and Poors. Shocker! (not) *"We also believe that the fiscal consolidation plan that Congress and the Administration agreed to this week falls short of the amount that we believe is necessary to stabilize the general government debt burden by the middle of the decade."
Again, thank you Teapublicans for absolutely refusing to touch the revenues side of the equation. In fairness, Democrats weren't exactly jumping up and down to deal with health care spending; also, Democrats should have pushed much harder for a public option when they had a chance, as this would have helped "bend the cost curve" of health care spending.

http://www.bluevirginia.us/diary/4586/sp-downgrades-us-debt-rating-to-aa-for-first-time-in-history-mostly-blames-teapublicans

[DonCoquixote]

1. this is all they will hear

containing the growth in public spending, especially on entitlements,

[ohheckyeah]

2. Absolutely...

a point I made on another thread.