This is one of the most embarrassing economic slip ups. This was a self inflicted wound, unlike all the other debt crisis going on right now. Everyone still wants to lend the U.S money, and everyone still had faith that the U.S would not default. This credit rating change is not really due to the debt to GDP ratio, or any economic fundamentals, but rather the idiocy in the House &Senate causing an increase in moral hazard.
So yes, the U.S really just lost their perfect credit rating, but not because they couldn't pay their bills. It is because there are morons in the House & Senate, that are willing to cause a default if they don't get what they want.
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So yes, the U.S really just lost their perfect credit rating, but not because they couldn't pay their bills. It is because there are morons in the House & Senate, that are willing to cause a default if they don't get what they want.