Fitch says 'fiscal cliff' may cost US 'AAA' rating

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**Frazzled**

http://news.yahoo.com/fitch-says-fiscal-cliff-may-cost-us-aaa-124511556--finance.html;_ylt=AsQMFnRxEZNEGl.IFp12xLC8Cu9_;_ylu=X3oDMTVmaDUzamsxBGNjb2RlA3JkdG9wMTAwMHBvb2wEbWl0A0FydGljbGUgTWl4ZWQgTGlzdCBOZXdzIGZvciBZb3Ugd2l0aCBNb3JlIExpbmsEcGtnAzNiY2MwNWQ2LTIwNTktMzlkNC1iMzZkLTNhY2NlMGJiMmZmMQRwb3MDMQRzZWMDbmV3c19mb3JfeW91BHZlcgMwYjRkZTYyMC00OWUxLTExZTItYmZmZS01ZTIxYzY3ZmRlYTc-;_ylg=X3oDMTM0cDl0ZXBlBGludGwDdXMEbGFuZwNlbi11cwRwc3RhaWQDOThhYzJlMzgtNGEyZC0zZjk2LWEzODgtMWVmY2U5YjVmNDA2BHBzdGNhdANidXNpbmVzc3xlYXJuaW5ncwRwdANzdG9yeXBhZ2U-;_ylv=3

Discover Yahoo! With Your FriendsLoginclose YOUR FRIENDS' ACTIVITYprev next Fitch says 'fiscal cliff' may cost US 'AAA' rating
Associated Press – 44 mins agoEmail 0Share 0TweetShare0PrintNEW YORK (AP) — Fitch warned that the U.S. is more likely to lose its top-notch "AAA" rating if lawmakers cannot agree on how to cut the deficit and avoid the broad government spending cuts and tax increases that go into effect next year if no deal is reached.

But the credit ratings agency said in a report Wednesday that if lawmakers can agree on a deficit-cutting plan, the U.S. would likely keep its "AAA" debt rating. Fitch would then raise its outlook to stable from negative.

"Resolution of the fiscal cliff and an increase in the debt ceiling are pressing issues that the President and Congress must address if the U.S. is to avoid a fiscal and economic crisis," the report said.

In November Fitch Ratings said that President Barack Obama must work toward a credible plan to avoid the fiscal cliff or risk losing its "AAA" rating. Fitch changed its outlook for the U.S. rating to negative last year after Congress and the Obama administration failed to meet a deadline for a plan.

In the first-ever downgrade of U.S. government debt, Standard & Poor's last year cut its rating from "'AAA" to "AA+" after the government failed to come up with a plan to reduce the deficit.

The U.S. has never failed to meet its debt obligations. The battle over raising the debt limit in August 2011 went right to the last minute before a compromise was reached.

**whembly**

Meh... doubt that'll ever happen as the ripple affect could potentially be more devestating to the global economy than here.

**Frazzled**

Why do you doubt it. The list of First world countries that have been downgraded in the last three years is substantial, and we have already been downgraded once.

**Bloodfrenzy187**

Remember to call and thank the Republican leadership in Washington when we lose our credit rating.

**whembly**

Bloodfrenzy187 wrote:
Remember to call and thank the Republican leadership in Washington when we lose our credit rating.

They're all to blame... every single one of them.

**Frazzled**

Bloodfrenzy187 wrote:
Remember to call and thank the Republican leadership in Washington when we lose our credit rating.

Right after I thank Obama and Harry Reid.

**Bloodfrenzy187**

whembly wrote:
Bloodfrenzy187 wrote:
Remember to call and thank the Republican leadership in Washington when we lose our credit rating.

They're all to blame... every single one of them.

I can agree with this to a degree but the republicans have been nothing but a pebble in the proverbial shoe for the last five years in almost every way possible. It feels like they are just being difficult for the sake of stopping any progress that could be made to turn things around.

**Frazzled**

Bloodfrenzy187 wrote:
whembly wrote:
Bloodfrenzy187 wrote:
Remember to call and thank the Republican leadership in Washington when we lose our credit rating.

They're all to blame... every single one of them.

I can agree with this to a degree but the republicans have been nothing but a pebble in the proverbial shoe for the last five years in almost every way possible. It feels like they are just being difficult for the sake of stopping any progress that could be made to turn things around.

Thats their job. Its that loyal opposition thing.

**Bloodfrenzy187**

Frazzled wrote:
Bloodfrenzy187 wrote:
whembly wrote:
Bloodfrenzy187 wrote:
Remember to call and thank the Republican leadership in Washington when we lose our credit rating.

They're all to blame... every single one of them.

I can agree with this to a degree but the republicans have been nothing but a pebble in the proverbial shoe for the last five years in almost every way possible. It feels like they are just being difficult for the sake of stopping any progress that could be made to turn things around.

Thats their job. Its that loyal opposition thing.

Why the hell would it be their job to stop progress? and "loyal opposition" is just another term of partisan politics which is a load of BS they need to be willing to make some compromises and not ones that are totally on the insane end of the spectrum.

**MeanGreenStompa**

Frazzled wrote:
Bloodfrenzy187 wrote:
whembly wrote:
Bloodfrenzy187 wrote:
Remember to call and thank the Republican leadership in Washington when we lose our credit rating.

They're all to blame... every single one of them.

I can agree with this to a degree but the republicans have been nothing but a pebble in the proverbial shoe for the last five years in almost every way possible. It feels like they are just being difficult for the sake of stopping any progress that could be made to turn things around.

Thats their job. Its that loyal opposition thing.

There is a sizeable difference between loyal opposition and obstinate refusal to agree, work together or give an inch.

It is very clearly the Republicans taking this country to the edge, just as they did when the credit rating was under fire two years ago. The 'block anything Obama does or says' idiocy by these rich bastards is costing the working men and women of this country dearly and it will cost their children equally so.

**whembly**

Right... it's always the Republican's fault.

Nothing new... move along.

It's everyone's fault... don't let your political leanings poison this. Frankly, I think the Ds and Obama want to go over the cliff... that way, congress would be more pliable to passing anything to save their bacon next year.

Oh... "fiscal cliff" is a farce. Both parties agreed to the expiration of the tax cuts and sequestrations.

**Bloodfrenzy187**

whembly wrote:
Right... it's always the Republican's fault.

Nothing new... move along.

It's everyone's fault... don't let your political leanings poison this. Frankly, I think the Ds and Obama want to go over the cliff... that way, congress would be more pliable to passing anything to save their bacon next year.

Oh... "fiscal cliff" is a farce. Both parties agreed to the expiration of the tax cuts and sequestrations.

I can't agree with this line of thinking simply because once you are given multiple plans to put this to an end and reject them all off hand it then becomes your fault.

**whembly**

Bloodfrenzy187 wrote:
whembly wrote:
Right... it's always the Republican's fault.

Nothing new... move along.

It's everyone's fault... don't let your political leanings poison this. Frankly, I think the Ds and Obama want to go over the cliff... that way, congress would be more pliable to passing anything to save their bacon next year.

Oh... "fiscal cliff" is a farce. Both parties agreed to the expiration of the tax cuts and sequestrations.

I can't agree with this line of thinking simply because once you are given multiple plans to put this to an end and reject them all off hand it then becomes your fault.

Erm... the house passed numerous bills. Harry Reid REFUSES to put them up for vote. Figure out which party is which.

But, still... I blame them ALL. There are NO adults in the room.

**Frazzled**

What are they blocking again?
Their plan B is tax really wealthy people and no other changes.

Who's blocking what now...

EDIT: If I were the Republicans in the House I would literally pass this legislation:
1. Evil richers making over $1mm a year get a 2% tax rate increase. All other Bush tax rates and the paycheck tax are unchanged from what is in effect on Dec. 1, 2012.
2. All sequesters repealed.
3. Declare the House victorious in protecting the middle class from a tax increase, declare it in recess and go home.

If the Democrats veto it, all the tax increases are on their heads. Besides thats actually what the Democrats want.

**whembly**

Frazzled wrote:
What are they blocking again?
Their plan B is tax really wealthy people and no other changes.

Who's blocking what now...

http://www.washingtonpost.com/blogs/right-turn/wp/2012/12/19/republicans-bemused-by-white-house-response-to-1-million-offer/

Republicans on Capitol Hill, to put it mildly, were somewhere between shocked and amused by the president’s rejection of their suggestion to spare all but millionaires a tax hike. It was not only that Senate Democrats had voted to do just that in 2010; it was that the threat to reject such a bill if passed by the House rang hollow in the absence of any alternate measure that could pass both houses. So now President Obama was going to hold middle-class taxpayers hostage? Somehow Republicans weren’t buying it.

**Bloodfrenzy187**

Frazzled wrote:
What are they blocking again?
Their plan B is tax really wealthy people and no other changes.

Who's blocking what now...

Yes plan B for the republicans is to raise taxes on the wealthy which was Democrats plan A so in essence they have no plan at all except that of the other parties.

**Frazzled**

Bloodfrenzy187 wrote:
Frazzled wrote:
What are they blocking again?
Their plan B is tax really wealthy people and no other changes.

Who's blocking what now...

Yes plan B for the republicans is to raise taxes on the wealthy which was Democrats plan A so in essence they have no plan at all except that of the other parties.

Er...what? Are you arguing that the guys you're saying are blocking everything and not compromising shouldn't..er...compromise? WTF?

**Mannahnin**

Frazzled wrote:
Why do you doubt it. The list of First world countries that have been downgraded in the last three years is substantial, and we have already been downgraded once.

Debt ceiling?

Slightly NSFW (one profanity):

**Bloodfrenzy187**

Addendum to last comment: I had not seen the news in the article posted above and now am a bit baffled and will now have to dig into this matter further.

**Breotan**

Bloodfrenzy187 wrote:
Why the hell would it be their job to stop progress?

Why is it only progress when it is the Democrats' agenda?

Bloodfrenzy187 wrote:
...and "loyal opposition" is just another term of partisan politics which is a load of BS they need to be willing to make some compromises...

The term "loyal opposition" was coined in the UK because Parlament didn't want political parties who opposed the King or the Government to be looked upon as traitors. In the USA, the party out of power has always taken up the mantle of "loyal opposition".

Bloodfrenzy187 wrote:
...and not ones that are totally on the insane end of the spectrum.

So, adopting a Democrat proposed tax rate is now the insane end of the spectrum? Was it always the insane end of the spectrum or did in only become that when the Republicans decided to go with it? Why is President Obama's position never considered to be on the insane end of the spectrum? Because you agree with it?

**whembly**

Dang... didn't think Speaker Boehner would do this way...

"Tomorrow the House will pass legislation to make permanent tax relief for nearly every American -- 99.81% of the American people. Then the President will have a decision to make. He can call on the Senate Democrats to pass that bill or he can be responsible for the largest tax increase in American history."

**d-usa**

The usual crowd would blame Obama and the democrats, but the majority would remember that one of their own suggested weeks ago that they vote to make the cuts permanent for the 98% and Boehner refused to vote on it. His "tactics" go against the wishes of a clear majority of this country and he needs to grow some balls and tell the tea party to feth themselves.

**Frazzled**

d-usa wrote:
The usual crowd would blame Obama and the democrats, but the majority would remember that one of their own suggested weeks ago that they vote to make the cuts permanent for the 98% and Boehner refused to vote on it. His "tactics" go against the wishes of a clear majority of this country and he needs to grow some balls and tell the tea party to feth themselves.

I'm sorry whats the difference again? Its a Democratic plan.

**whembly**

d-usa wrote:
The usual crowd would blame Obama and the democrats, but the majority would remember that one of their own suggested weeks ago that they vote to make the cuts permanent for the 98% and Boehner refused to vote on it. His "tactics" go against the wishes of a clear majority of this country and he needs to grow some balls and tell the tea party to feth themselves.

Yeah... there's tons of angst from the Tea Party about Plan B (that name is ironic, isn't it?).

The issue is that political parties are using this hysteria to push their agenda. I'm surprised that the Speaker would simply pass a bill that only addresses that tax rates.

There are Democrats and Republicans are claiming that it does nothing to the sequestration/debt hikes/unemployment benefits, since the congress critters like to slam things into one big super-mega-smega bill.

Actually, now that I think about it, I kinda applaud the speaker to just tackle the tax issue... debate it, then pass it. There's time to address the other concerns.

**azazel the cat**

Breotan wrote:
Bloodfrenzy187 wrote:
Why the hell would it be their job to stop progress?
Why is it only progress when it is the Democrats' agenda?

It probably has something to do with the fact that the very definition of conservatism is basically an antonym of progress.

con·ser·va·tism (kn-sûrv-tzm)
n.
1. The inclination, especially in politics, to maintain the existing or traditional order

prog·ress (prgrs, -rs, prgrs)
n.
1. Movement, as toward a goal; advance

**whembly**

azazel the cat wrote:
Breotan wrote:
Bloodfrenzy187 wrote:
Why the hell would it be their job to stop progress?
Why is it only progress when it is the Democrats' agenda?

It probably has something to do with the fact that the very definition of conservatism is basically an antonym of progress.

con·ser·va·tism (kn-sûrv-tzm)
n.
1. The inclination, especially in politics, to maintain the existing or traditional order

prog·ress (prgrs, -rs, prgrs)
n.
1. Movement, as toward a goal; advance

Heh... why do you have to interject logic here...

psst, that was hilarious...

**d-usa**

Frazzled wrote:
d-usa wrote:
The usual crowd would blame Obama and the democrats, but the majority would remember that one of their own suggested weeks ago that they vote to make the cuts permanent for the 98% and Boehner refused to vote on it. His "tactics" go against the wishes of a clear majority of this country and he needs to grow some balls and tell the tea party to feth themselves.

I'm sorry whats the difference again? Its a Democratic plan.

I hope you don't handle accounts, because 100% minus 2% does not equal the number proposed by Mr. Speaker.

Representative Cole wanted to vote on the democratic plan weeks ago, he was demonized by his party and shot down by Mr. Speaker.

**Kilkrazy**

Taxes need to go up for people with money, and spending needs to go down.

Sales tax or a universal income tax would simply depress the economy.

**JEB_Stuart**

Kilkrazy wrote:
Taxes need to go up for people with money, and spending needs to go down.

True story. I tend to support the GOP, but this seemed to be a need long ago.

Kilkrazy wrote:
Sales tax or a universal income tax would simply depress the economy.

Well we don't have a Federal sales tax, but most states do. Most people get double dipped on income tax as states and the Feds do that. Thankfully in Texas there is no state income tax though

**Frazzled**

Kilkrazy wrote:
Taxes need to go up for people with money, and spending needs to go down.

Sales tax or a universal income tax would simply depress the economy.

Well if one party says no to lowering spending, and the MSM media supports that party, what is the other party going to do?