Fitch Downgrades US Credit Rating

You seem to be an angry fella

 

...and in no case ever, has a Democrat HR ever hinted at not increasing the debt. Nary a sideways glance in its general direction to acknowledge that our debt spending is a problem.

 

Why the concession?

You were and remain correct.

GOP only controls the HR.

Sen is split, w Dem VP representing tie breaker, and of course, POTUS = Democrat.

 

I don’t blame them. We are simply one close election away from a Republican led default. The chances that the GOP does something catastrophically irreversible is non-zero.

Trump urges GOP to let catastrophic debt default happen if Dems don't accept cuts

 

The government instability affects this too. Corrupt leadership also impacts debt. They go hand in hand.

 

As long there is a filibuster rule it doesn't take a majority to effectively block legislation, only 41 votes. Maybe not true control, but the effective ability to block legislation.

 

Anyone remember the last time (and first) time the US credit rating was downgraded?
S.& P. Downgrades Debt Rating of U.S. for the First Time (Published 2011)
It happened in 2011 and interestingly it also occurred after the Republicans regained their House majority and an influential segment of the party decided to play politics with the debt ceiling as they did earlier this year and will almost certainly do so with the budget possibly forcing a government shutdown. Although he never threatened default when he was in office the defeated former president is also urging his party to play politics over responsible governance.
Trump Call for Debt Default Echoed by House Extremists

 

How can we have threads brought to us by the illustrative left about Biden's economics and how great they are and how great Biden is and how much energy we are selling, and recession is not coming, and then bad news come and it's Trump's fault who hasn't held office in over 2 years?
GO TEAM!!!!!

 

Both Parties are at fault for the debt ceiling mess we find ourselves in as neither has been willing to make the tough decisions on taxes and spending over the past 25 years or so. Washington needs to get its $hit together and that includes D's and R's.

 

Although Trump may no longer be in office when the Donald says "jump" the Republican majority in the House responds with the question "how high, sir?" Same for 49 Republicans in the Senate who represent more than enough members to block any legislation through the filibuster.

 

The U.S. economy is like a man who’s fallen down a well, has stumbled around -dazed- at the bottom, finally finds a foothold … 2% growth!

 

Bizarro world bud.
Apparently that is the point where “bidenocomics” stops.

 

The real problem is the exploding debt and government's refusal to rein in spending. We were once the world's largest creditor. We are now the world's largest debtor. In fact, our debt is more than all other countries debt combined. The assumption is that the U.S. Dollar will remain the world's reserve currency. We've started to see that corrode. You see, when government prints more money, that is another way they're able to transfer wealth. You pay more for your goods and services so that someone else can benefit from the handout. Government can circumvent the legislature this way and tax you by devaluing your fiat currency. Eventually, the debt is going to be called and then we're in a pickle.

Fitch is absolutely correct to take this stand, regardless of who's responsible. Inflation is not Putin's fault, inflation is not Covid's fault. Those two things didn't increase the money supply. Our government did. Republicans and Democrats. When they print the money, they use the illusion of the people getting richer (because your home value goes up, your wages increase, your 401k rises), but in reality, you're not getting richer, because things cost more. We cannot continue down this path and retain prosperity.

 

Not sure of your source or the exact context but your statement does not appear to be true

List of countries by external debt - Wikipedia

Compared to the economy the US is on the higher side but not the highest. Among the lowest are Afghanistan and Russia (your favorite) so I guess we have something to shoot for.

Why the dollar remains the world’s reserve currency, and will stay that way.

90% of international trades are denominated in dollars.

59% of currency reserves are dollars

https://www.cfr.org/backgrounder/do...ar has been the,but that comes with drawbacks.

The trend is far from linear

US Dollar’s Status as Global Reserve Currency on Slow Long-Term Decline, but Not Going Down in a Straight Line | Wolf Street

It likely isn’t just one thing - I think our threats to default are a primary factor, but I’m sure rising debt load plays a part.


Interesting counter perspective - while debt load has increased debt service to gdp has not.

 

But only one party threatened to actually default.

 

Does the deep state at least show you the courtesy of using lube or do you let them have it any way they want it? I reckon I already know the answer...

 

Is this a serious post? LMFAO, if not!

 

Yes, becasue budgets are so last two hundred years old fashioned way to run a country...

The economic mind of liberals... citizenry and their progeny are just forever tax slaves to be used for wasteful spending.

It's amazing that liberals think elected officials can just spend whatever amount of other people's money that they want to spend.

 

Deep State. Ha.

 

What a dumb rating agency. They cite the past two decades and now is the time for a downgrade? Laughable.

Jamie Dimon thinks it is dumb and he is more qualified than anyone on THFSG.

JPMorgan CEO Jamie Dimon says U.S. should have the highest credit rating in the world