The Beijing-based Dagong agency, one of the few notable non-US based credit rating agencies, has downgraded America to an ‘A -‘rating from ‘A’.
|Ben is losing popularity and is viewed |
as less secure over in Mao's land.
The move came shortly after Congress and President Obama narrowly averted a technical default. Fear [that] the world’s largest economy may default on its widely dispersed Treasury Bonds is making investors re-evaluate political and financial stability in the US.The agency concluded.
"The fundamental situation that the debt growth rate significantly outpaces that of fiscal income and gross domestic product remains unchanged," Dagong said in the statement, adding Washington's solvency was vulnerable as old debts were still repaid through raising new debts.
"Hence the government is still approaching the verge of default crisis, a situation that cannot be substantially alleviated in the foreseeable future," it said.
The American people and its mainstream politicians have no self-control, they have no will. They are unwilling and unable to pay for their politics.
Alan Greenspan knows where this is headed. Dagong knows where this is headed. So do Ted Cruz and Rand Paul and even Mitch McConnell. So once did Dear President.
President Barack Obama, calling current deficit spending “unsustainable,” warned of skyrocketing interest rates for consumers if the U.S. continues to finance government by borrowing from other countries.
“We can’t keep on just borrowing from China,” Obama said at a town-hall meeting in Rio Rancho, New Mexico, outside Albuquerque. “We have to pay interest on that debt, and that means we are mortgaging our children’s future with more and more debt.”
Our toes are getting torn and bloody from kicking the can day after day, month after month and year after year. Each and every day now the drip, drip, drip of fiscal deterioration and monetary destruction and real irreparable crisis builds. There is no easy way out, not any more.