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, S & P analysts wrote.
The gulf between the political parties over fiscal policy, it wrote, 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 governments debt dynamics any time soon.
That was August 2011.
Since then, the far right has become more emboldened despite President Barack Obamas 2012 presidential win and the calls for Republican leaders to play smarter politics.
Florida Republican Sen. Marco Rubio appeared to heed the call when it came to backing comprehensive immigration reform. But the conservative blowback was significant.
Rubio this July started talking less about immigration and more about defunding Obamacare or not voting for a debt-ceiling increase without a balanced-budget plan.
Rubio joined a Republican filibuster Saturday to block a so-called clean debt ceiling increase.
I opposed Senate Democrats latest attempt to raise the debt limit by $1.1 trillion because it fails to address our real debt crisis, reform spending, encourage economic growth and do the necessary things to protect the American dream, Rubio said.
But Democrats are making the case that failing to increase the debt limit could crash the economy and thereby ruin the American dream quickly. Also, Rubio did relatively little as a state House member and Florida House speaker to grapple with rising health insurance costs in a state with one of the highest rates of the uninsured.
Theres also a measure of irony in Rubios criticisms of the lack of certainty caused by Obamacare and current tax-and-spending policy: The Republican-precipitated budget-and-debt fights have led to economic uncertainty.
Some Republicans, like newly elected Gainesville U.S. Rep. Ted Yoho, are part of a vocal but still-small group that are being branded debt deniers when it comes to their opposition to lifting the debt ceiling. I think we need to have that moment where we realize [were] going broke, Yoho told the Washington Post. I think, personally, it would bring stability to the world markets.
The overwhelming number of business leaders, economists and nonpartisan analysts say failure to lift the debt ceiling (set to be reached Oct. 17 or so) would eventually cause serious economic problems.
But Yoho and company say theyre not convinced. They say the Treasury Department, unable to fund government at current levels without a debt-limit increase, could prioritize payments to ensure there was no debt default and make sure that Social Security and Medicare payments are properly prioritized by the administration.
Yeah. Leave complex new computing tasks in the hands of the Obama administration.
It has worked so well for Obamacares sign-in website. And the GOP.