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We are being railroaded by politicians and mainstream media when they lay on us that "S&P to deeply cut U.S. ratings if debt payment missed"
 Part of channel(s): Yoursay (promoted)

We are being "threatened" again with scare tactics by telling us "The United States would immediately have its top-notch credit rating slashed to "selective default" if it misses a debt payment on August 4"

"If the U.S. government misses a payment, it goes to D," Chambers said. "That would happen right after August 4, when the bills mature, because they don't have a grace period."


But here's the problem -

Treasury has more than enough coming in from tax deposits to honor that thirty billion in rollover.
The government borrows about 40 cents of every dollar it spends at present. This means two things:
• There is more than enough money coming in to pay the debt and interest that matures. Therefore, a default would be an intentional act by Tim Geithner, much as it is when you decide not to pay your mortgage (despite having the money to do so.) Selective default is a choice,


Added: Jul-11-2011 Occurred On: Jun-30-2011
By: mysterykeeper
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Tags: debt cieling, rating, congress
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