How Does a Credit Rating Affect a Country?
59Bad Report Card?
It's All in the Game
S&P decided to lower the credit rating of the most important nation on earth. This was taken as shocking, earth shaking news, but so what?
There is no major country in the world like the United States. We are the focus of the entire world.
The reason our debt is so high, and we keep raising the ceiling, is that we are lifted to elevations unheard of, in terms of optimism and generosity.
Yes, statistically speaking, the rest of the world has countries that are better at keeping their promises about paying back their creditors with money that hasn't lost its value.
America is encouraging the rest of the world to come up into the drivers seat for a chance and see what they can do to straighten out the recession that's trying the patience of everyone.
No matter what happens, a politician will use the event to leverage something out of it, such as cutting back on what he or she thinks is unnecessary and wasteful, or even horrendous and distasteful.
As investors shy away from government bonds and embrace corporate securities, and as tiny countries puff up their egos knowing that their credit ratings are better than America's, many good things will come from the credit downgrading.
This shake-up might dislodge something somewhere that's going to start the ball rolling toward recovery, discovery, inventiveness, and prosperity. America should not despair. After all, it was time to wake up and get to work anyway.
tsadjatko Level 5 Commenter 9 months ago
"The reason our debt is so high, and we keep raising the ceiling, is that we are lifted to elevations unheard of, in terms of optimism and generosity."
"Optimism and generosity"? I think STUPIDITY and IDEOLOGY are the culprits, not optimism and generosity.
The majority of America is not for this agenda - it is liberal politics on both sides of the aisle that has put us over the precipice and the tea party is our only hope of reigning in a government that has gone wild on spending.
"such as cutting back on what he or she thinks is unnecessary and wasteful, or even horrendous and distasteful"
"what he or she thinks"? I don't think it is subjective at all - practically everything the Government spends is "unnecessary and wasteful, or even horrendous and distasteful?" That is just a fact.