Another Reason You Can Have Him
Fitch won’t downgrade the U.S., but they have downgraded Chirstiedom, officially because he didn’t pillage the state’s severely-underfunded Pension Funds enough.
Of course, those Pension Funds wouldn’t be so underfunded if they had been funded instead of f*ck*d by the Whitman Administration’s Coke-Induced Budgeting Practices. (The “miracle of compound interest” includes that it doesn’t compound so much when there’s no principal.)
[UPDATE: Blue Jersey highlights the line I missed:
Fitch believes that meeting the requisite increases in pension contributions will be challenging and is likely to conflict with other long term challenges, such as property tax relief, school funding, and infrastructure needs.
Gosh, you mean you have to pay for services? As for the other highlight:
The state’s recent economic performance has been weak and the state is expected to lag the nation in recovering from the recent recession.
we could always use The Texas Solution: Hire More and More Government Workers.]
So, if you want him, as I said at Skippy, you can have him. He’s got experience with ratings downgrades.
Sadly, I suspect Joe Wiesenthal has it right:
It might not be a big deal, and it might not be his fault, but this should probably kill any buzz about him running for President right now, given that THE DOWNGRADE is expected to be such a salient point of attack for any eventual GOP nominee.
And since the downgrade was engineered by a Romney supporter, any suggestions of conspiracy here are unjustified.
let me try that link again –
and note that I believe there’s excessive concern re. U.S. soveriegn debt as well as the federal deficit –
given the severity of the crisis, as Kindleberger argued, hitting the re-start button will not work. The crisis is deepening, and instituting more austerity on the one hand and financial bailouts on the other to restore the confidence of finance is not a real solution. It will just hasten the forces of political and economic disintegration as we are witnessing in the U.S. and many European countries.
I taught a seminar on government accounting and financial policy making in about 1983, and we used New Jersey as an example of dicey financial practices.
The union leaders who helped play kick-the-can-down-the-road deserve a mention. They knew or should have known. And let’s not forget John Goldman Sachs Corzine.
Between here, TBP and Krugman, I am leaving my speakers on more and more.
In my early days “a quarter’d out there……”
We would on occasion have a “him” for certain fools in the quarters.
A lot of folks depended on voodoo the past economic generation.
The whole arbitrage thingy through to 30 year notes to unqualifed borrowers buying inflated assessments…………………………………..
The lists of folk who deserve a “him” are lengthy.