Posts Tagged ‘Credit rating’
Friday, August 12th, 2011
Inspired by Bachmann defends ‘no’ vote on debt ceiling, S&P: Debt default skeptics fueled ratings downgrade (Politico 8/11/11), Michele Bachmann Once Again Lies About Debt-Ceiling In Debate (Crooks and Liars 8/12/11), and After Triggering Downgrade, Debt Default Skeptics Try To Run From Their Records — But They Can’t (Talking Points Memo8/12/11).
“We just heard from Standard & Poor’s when they dropped—when they dropped our credit rating what they said is we don’t have an ability to repay our debt. That’s what the final word was from them. I was proved right in my position. We should not have raised the debt ceiling and instead we should have cut government spending, which was not done, and then we needed to get our spending priorities in order.” – Michele Bachmann at the GOPIowadebate in response to a question about her debt ceiling position
“The downgrade reflects our opinion that the fiscal consolidation plan that Congress and the Administration recently agreed to falls short of what, in our view, would be necessary to stabilize the government’s medium-term debt dynamics. More broadly, the downgrade reflects our view that the effectiveness, stability, and predictability of American policymaking and political institutions have weakened at a time of ongoing fiscal and economic challenges to a degree more than we envisioned when we assigned a negative outlook to the rating on April 18, 2011.Since then, we have changed our view of the difficulties in bridging the gulf between the political parties over fiscal policy, which makes us pessimistic about the capacity of Congress and the Administration to be able to leverage their agreement this week into a broader fiscal consolidation plan that stabilizes the government’s debt dynamics any time soon.” – S&P announcement
“[The downgrade] conclusion was pretty much motivated by all of the debate about raising the debt ceiling. It involved a level of brinksmanship greater than what we had expected earlier in the year.” – chairman of S&P sovereign debt committee John Chambers
“[A main reason the U.S.was downgraded was that] people in the political arena were even talking about a potential default. That a country even has such voices, albeit a minority, is something notable. This kind of rhetoric is not common amongst AAA sovereigns.” — S&P senior director Joydeep Mukherji
Michele Bachmann lives in her own universe
In which everything is reality’s reverse.
Facts and truth just don’t apply–
What they believe is true, even if it’s a lie.
S&P didn’t questionAmerica’s ability to make good on our debt
(Fortunately, a low point we haven’t gotten to yet).
S&P said the downgrade was because people (Michele, they mean you)
Were talking about default as a good thing to do.
But I guess it doesn’t matter, Michele, what S&P actually said
As long as you can your own version of reality spread.
That will be accepted as Truth by the Tea Party devout,
Even though you’re one of the “voices” S&P was talking about.
You’re who the President was talking about the other day
When he said our political system isn’t triple-A.
Why people still listen to you is a mystery.
If you were a bond you’d be junk, just like your history.
Here’s The Last Word’s 8/12/11 report on GOP debt ceiling debacle. (Chris Hayes, subbing for Lawrence, also quotes Eric Cantor’s interesting comment.)
Here’s Hardball’s 8/12/11 recap of the GOP Iowa debate. Michele’s explanation of the downgrade is at the 3”35 mark.
Here’s Rachel’s 8/12/11 report. I liked the way she referred to the series of S&P statements as “tripling down.”