Conquer Club

PLEASE! start demanding fiscal responsibility NOW!

http://www.bloomberg.com/apps/news?pid= ... a8xAghPS8I

March 15 (Bloomberg) -- The U.S. and the U.K. have moved “substantially” closer to losing their AAA credit ratings as the cost of servicing their debt rose, according to Moody’s Investors Service.

The governments of the two economies must balance bringing down their debt burdens without damaging growth by removing fiscal stimulus too quickly, Pierre Cailleteau, managing director of sovereign risk at Moody’s in London, said in a telephone interview.

Under the ratings company’s so-called baseline scenario, the U.S. will spend more on debt service as a percentage of revenue this year than any other top-rated country except the U.K., and will be the biggest spender from 2011 to 2013, Moody’s said today in a report.

“We expect the situation to further deteriorate in terms of the key ratings metrics before they start stabilizing,” Cailleteau said. “This story is not going to stop at the end of the year. There is inertia in the deterioration of credit metrics.”

Phatscotty wrote:PLEASE! start demanding fiscal responsibility NOW!

http://www.bloomberg.com/apps/news?pid= ... a8xAghPS8I

March 15 (Bloomberg) -- The U.S. and the U.K. have moved “substantially” closer to losing their AAA credit ratings as the cost of servicing their debt rose, according to Moody’s Investors Service.

The governments of the two economies must balance bringing down their debt burdens without damaging growth by removing fiscal stimulus too quickly, Pierre Cailleteau, managing director of sovereign risk at Moody’s in London, said in a telephone interview.

Under the ratings company’s so-called baseline scenario, the U.S. will spend more on debt service as a percentage of revenue this year than any other top-rated country except the U.K., and will be the biggest spender from 2011 to 2013, Moody’s said today in a report.

“We expect the situation to further deteriorate in terms of the key ratings metrics before they start stabilizing,” Cailleteau said. “This story is not going to stop at the end of the year. There is inertia in the deterioration of credit metrics.”

It's always about balance.

At least we aren't killing each other.

More bailouts anyone?

jay_a2j wrote:More bailouts anyone?

I see your Bailout, and I raise you an entitlement.

Phatscotty wrote:

jay_a2j wrote:More bailouts anyone?

I see your Bailout, and I raise you an entitlement.

I see your entitlement and raise you a special interest.

jay_a2j wrote:

Phatscotty wrote:

jay_a2j wrote:More bailouts anyone?

I see your Bailout, and I raise you an entitlement.

I see your entitlement and raise you a special interest.

I see your special interest and raise you an unfunded liability.

Doc_Brown wrote:

jay_a2j wrote:

Phatscotty wrote:

jay_a2j wrote:More bailouts anyone?

I see your Bailout, and I raise you an entitlement.

I see your entitlement and raise you a special interest.

I see your special interest and raise you an unfunded liability.

quadruple down on that...

You know budget deficits are not inherently a bad thing, especially in bad economic times. These credit agencies have been giving these warnings for around a year now but they are not going to act before the UK election, and they will never deliberately hit the USA unless they really have no other choice, and theres plenty of options and time still out there.

We are losing our leadership of the world and trying to use other countries' money in a possibly futile effort to buy our way out of trouble. You don't think this will end up badly for us?

I believe that the mounting debt is one of the top three biggest threats to America.

This thread is awesome so far.

john9blue wrote:We are losing our leadership of the world and trying to use other countries' money in a possibly futile effort to buy our way out of trouble. You don't think this will end up badly for us?

I believe that the mounting debt is one of the top three biggest threats to America.

This thread is awesome so far.

What are the other 2 in your top 3?

Titanic wrote:
What are the other 2 in your top 3?

jay_a2j and Phatscotty

I don't have a top 3 lol. I just said that in case there was something obvious (maybe global warming) that I forgot...

But seriously, we need to cut spending.

guylian wrote:

Titanic wrote:
What are the other 2 in your top 3?

jay_a2j and Phatscotty

Yup, the religion guy and the limited gov't guy. Get rid of those "threats" and you have your socialist utopia.

Phatscotty wrote: Yup, the religion guy and the limited gov't guy. Get rid of those "threats" and you have your socialist utopia.

Who's who?

jay_a2j wrote:

Phatscotty wrote: Yup, the religion guy and the limited gov't guy. Get rid of those "threats" and you have your socialist utopia.

Who's who?

i realized you are both but i had to fit myself in there somewhere

Phatscotty wrote:

guylian wrote:

Titanic wrote:
What are the other 2 in your top 3?

jay_a2j and Phatscotty

Yup, the religion guy and the limited gov't guy. Get rid of those "threats" and you have your socialist utopia.

Or rather the conspiracy nut and the troll?

getting rid of the moody rating system would be a good thing

karel wrote:getting rid of the moody rating system would be a good thing

Yes, but that would involve the USA and UK actually facing upto the financial services industry which is never going to happen seeing as they can't even do it after the greatest recession in 80 years.

Moodys should change their criteria, or at least create new criteria for the upcoming years. Yes, the US and many other countries will be on big debt (money that doesn't actually exist). It's backed only on the word of the presidents.

From BBC earlier on - "However, earlier this week, Moody's agency said the UK's top rating was secure. "
http://news.bbc.co.uk/1/hi/business/8574018.stm

Yer, so many of the developed countries are going to be running large deficits in the years to come and will have those deficits for at least a couple of decades.

Titanic wrote:From BBC earlier on - "However, earlier this week, Moody's agency said the UK's top rating was secure. "
http://news.bbc.co.uk/1/hi/business/8574018.stm

Yer, so many of the developed countries are going to be running large deficits in the years to come and will have those deficits for at least a couple of decades.

BWAHAHAHAHA

Arent those the same debts that the free market and Friedman is responsible for(lol)? that created the biggest crash in 25 years? These countries that are going to be sustaining large deficits....you made the argument in a different thread that these models were pure horse-shit and completely destroyed the economy. The economy os SOOOO f'n bad and devestated right? oh but they are still good for 150 trillions dollars...????...???
Which is it?

You need to be consistent now.

Phatscotty wrote:

Titanic wrote:From BBC earlier on - "However, earlier this week, Moody's agency said the UK's top rating was secure. "
http://news.bbc.co.uk/1/hi/business/8574018.stm

Yer, so many of the developed countries are going to be running large deficits in the years to come and will have those deficits for at least a couple of decades.

BWAHAHAHAHA

Arent those the same debts that the free market and Friedman is responsible for(lol)? that created the biggest crash in 25 years? These countries that are going to be sustaining large deficits....you made the argument in a different thread that these models were pure horse-shit and completely destroyed the economy. The economy os SOOOO f'n bad and devestated right? oh but they are still good for 150 trillions dollars...????...???
Which is it?

You need to be consistent now.

Swing and a miss....

I never said the debts were responsible for the crash (biggest in 80 not 25 years btw) and "destroying the economy" but the Washington Consensus (inspired by Friedman) was. This doesn't have to create large deficits but regularly does because they promote large tax cuts without actually cutting public expenditure by a similar amount. I still agree that the models are "horse-shit" although I'm pretty sure I critiqued it economically and politically rather then like a 5 year old.

Also please learn to read the actual post especially when you are quoted that very post. I never said deficits are a good thing or a long run deficit should be promoted but rather that we are going to have to get used to a "running large deficits in the years to come", and that we will have significant public debts "for at least a couple of decades".

Finally, I find it amazing that you can reply about Friedman in here when it isn't even related to the actual topic, but in the actual thread titled Milton Friedman you still can't reply to my posts. You are a fucking loser.

Titanic wrote:

Phatscotty wrote:

Titanic wrote:From BBC earlier on - "However, earlier this week, Moody's agency said the UK's top rating was secure. "
http://news.bbc.co.uk/1/hi/business/8574018.stm

Yer, so many of the developed countries are going to be running large deficits in the years to come and will have those deficits for at least a couple of decades.

BWAHAHAHAHA

Arent those the same debts that the free market and Friedman is responsible for(lol)? that created the biggest crash in 25 years? These countries that are going to be sustaining large deficits....you made the argument in a different thread that these models were pure horse-shit and completely destroyed the economy. The economy os SOOOO f'n bad and devestated right? oh but they are still good for 150 trillions dollars...????...???
Which is it?

You need to be consistent now.

Swing and a miss....

I never said the debts were responsible for the crash (biggest in 80 not 25 years btw) and "destroying the economy" but the Washington Consensus (inspired by Friedman) was. This doesn't have to create large deficits but regularly does because they promote large tax cuts without actually cutting public expenditure by a similar amount. I still agree that the models are "horse-shit" although I'm pretty sure I critiqued it economically and politically rather then like a 5 year old.

Also please learn to read the actual post especially when you are quoted that very post. I never said deficits are a good thing or a long run deficit should be promoted but rather that we are going to have to get used to a "running large deficits in the years to come", and that we will have significant public debts "for at least a couple of decades".

Finally, I find it amazing that you can reply about Friedman in here when it isn't even related to the actual topic, but in the actual thread titled Milton Friedman you still can't reply to my posts. You are a fucking loser.

talk about a miss. I am simply saying it's the out of control public spending programs of USA and UK that are going to bankrupt them.

obviously, there is no other number in the world that is bigger, unless you are counting grains of sand or stars in the sky. Entitlement promises dwarf every single thing of monetary value in the world. You can take every penny in existence today and not even be close to having enough. If you think that looks good on a balance sheet, well, you probably do think that looks good.

Phatscotty wrote: talk about a miss. I am simply saying it's the out of control public spending programs of USA and UK that are going to bankrupt them.

obviously, there is no other number in the world that is bigger, unless you are counting grains of sand or stars in the sky. Entitlement promises dwarf every single thing of monetary value in the world. You can take every penny in existence today and not even be close to having enough. If you think that looks good on a balance sheet, well, you probably do think that looks good.

1) USA and UK are not going to be bankrupt. Look at some history and learn some economics before spouting crap.
2) There are bigger numbers, like the size of our economy every single year!
3) How about you stop talking about stuff you have no knowledge of?