S&P’s role was to review the post-law, post-squabble financial condition of the U.S. and to evaluate its financial viability. Even after “correcting” for an alleged $2 trillion assumption error (which wasn’t), S&P concluded that the nation’s public debt-to-GDP ratio, currently at about 68%, would hit 85% by 2021 using the CBO’s assumptions. The trouble is, those assumptions, which include no substantive interest-rate hikes and economic growth rates of 3% or more in all future years, are wildly optimistic, and S&P knows it — especially given who’s currently running the White House and the Senate. S&P could fairly conclude that if nothing further of a serious nature is done, we’ll be well above the 90% “Maxed Out America” threshold well before 2021. In fact, after it downgraded America’s debt from AAA to AA-plus on Friday, the agency warned that another downgrade might be necessary in the next six months to two years.
Now that I’ve laid out what happened, I’m trying to get my arms around the “logic” that Obama, Democrats, the unhinged left, and their media mouthpieces have unleashed, namely:
• Openly and unprofessionally whining about S&P’s decision.
If given half a chance, the left may start calling the recent double-digit stock market drop “The Tea Party bear market.” Monday evening, Mike Ivey at Madison.com’s Cap Times may have previewed a part of this potential meme when he wrote: “Perhaps the only solace in this latest round of global financial meltdown is that Tea Partiers are losing money, too.”
Of course, the downgrade more than likely would not have happened if Tea Party activists had really gotten their way — which, except perhaps for avoiding tax increases, they mostly didn’t. But it could have been much worse. As Rick Santelli said on Monday after the market’s close: “If it wasn’t for the Tea Party, they’d have passed the debt ceiling thumbs-up, (and) we’d have been rated triple-B.”
You would think that such an obvious pack of lies from the left would have no chance of gaining traction. Think again: According to Rasmussen, they already have 29% of Americans believing that Tea Party members are “economic terrorists.”
This cannot stand. We know who started the fire, we know who fed and worsened it with their failed “solutions,” and we know who is utterly out of ideas. Incredibly, fewer Americans are working full-time now than were when the recession technically ended. Democrats and all too many RINO accomplices have had their way for 30 months, and all they can show for it is a frightening trail of misery.
Democrat Debbie Wasserman-Schultz said not long ago that her party owns the economy. They still do: lock, stock, and barrel. The Tea Party must focus its attention on limiting the damage during the next 17-1/2 months, educate-educate-educate the public, recruit solid candidates who can chase as many hard-leftists and RINO poseurs out of office as possible, and hope against hope-and-change that we really can survive until January 2013.