What is the cause of the U.S. credit downgrade? (Part 1)

moore

Movie Clip Canadian Bacon Prt 1

What is the cause of the U.S. credit downgrade? (Part 1)

 
Still of Alan Alda, John Candy, Kevin Pollak, Rip Torn, Michael Moore and Rhea Perlman in Canadian Bacon

7 January 2011
© 1995 Metro-Goldwyn-Mayer Studios Inc. All Rights Reserved.
Still of Alan Alda, John Candy, Kevin Pollak, Rip Torn, Michael Moore and Rhea Perlman in Canadian Bacon

Michael Moore is a liberal movie director and his films have been pitiful. However, I did enjoy the movie “Canadian Bacon” which was very funny. Above is a clip from that movie.

Liberal firebrand Michael Moore called on President Obama to respond to the U.S. credit downgrade by arresting the leaders of the credit-ratings agencies.

On his Twitter feed Monday, the Oscar-winning film director also blamed the 2008 economic collapse on Standard & Poor’s — apparently because it and other credit-ratings agencies did not downgrade mortgage-based bonds, which encouraged the housing bubble and let it spread throughout the economy.

“Pres Obama, show some guts & arrest the CEO of Standard & Poors. These criminals brought down the economy in 2008& now they will do it again,” Mr. Moore wrote.

Standard & Poor’s, one of three key debt agencies, stripped the U.S. federal government of its AAA status Friday night and reduced it to AA+ for the first time in the nation’s history.

___________________________

I don’t think that Standard and Poors did anything wrong and I think they would have been wrong if they did not act because of all the political pressure they were receiving from the Obama administration. My views are much closer to those below.

GOPers Romney, Bachmann, Huntsman, Santorum blame President Obama on S&P credit downgrade

BY Aliyah Shahid
DAILY NEWS STAFF WRITER

Saturday, August 6th 2011, 12:10 PM

The GOP‘s cadre of anti-Obama presidential candidates are hammering their nemesis for the first credit downgrade in U.S. history.Late Friday night, following months of bruising, rancorous debate in Washington over the debt ceiling and America’s future deficit, the credit ratings agency Standard & Poor’s downgraded the country’s sterling AAA credit rating to AA+. The other two major ratings agencies — Moody’sand Fitch — maintained the nation’s AAA rating.”America’s creditworthiness just became the latest casualty in President Obama‘s failed record of leadership on the economy,” said former Massachusetts Gov. Mitt Romney in a statement.

“Standard & Poor’s rating downgrade is a deeply troubling indicator of our country’s decline under President Obama. His failed policies have led to high unemployment, skyrocketing deficits, and now, the unprecedented loss of our nation’s prized AAA credit rating.”

The Obama administration slammed the credibility of the analysis S&P used to downgrade the nation’s credit rating, insisting there was a $2 trillion error in S&P’s calculations. The ratings agency conceded the error, but did not alter its conclusion.

Tea Party darling Rep. Michele Bachmann — who voted against the debt-ceiling deal — also laid into Obama, declaring that the “President has destroyed the credit rating of the United States.”

She even went as far as calling for the resignation of Treasury Secretary Tim Geithner.

Former Utah Gov. Jon Huntsman described the downgrade as a result of a “lack of leadership in Washington,” adding that “for far too long we have let reckless government spending go unchecked and the cancerous debt afflicting our nation has spread.”

And ex-Pennsylvania Sen. Rick Santorum blamed Obama for not taking more responsibility.

“I understand the U.S. Treasury is going back to Standard and Poor’s to say that a two trillion dollar mathematical error by S&P contributed to the downgrade,” he said. “So, in addition to blaming President Bush for all of its problems, now the White Houseis blaming S&P – but this happened on the President’s watch – and he has to deal with it.”

 
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