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hi_vis360
November, 2024

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Someone explain our rating to me

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ECB
Posts: 6991 - Karma: 622
So The US got downgraded from AAA to AA+. I mean, sure it's not Triple A, it's only Double A+, but if all these countries keep getting downgraded, who are we comparing to? A bunch of countries got downgraded, so if lots of countries are getting downgraded, shouldn't we all be back up because of the median? What is going on?
Aug 10 2011 10:56PM
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BootySpunk.
Posts: 8148 - Karma: 84
I think this might explain some things http://www.reddit.com/r/explainlikeimfive/comments/jaers/eli5_how_does_the_us_credit_rating_that_went_down/
Aug 10 2011 10:58PM
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eljusto.
Posts: 2163 - Karma: 457
Click for larger image
Aug 10 2011 10:59PM
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I.B
Posts: 8137 - Karma: 24,353
LOL wut?
Aug 10 2011 11:01PM
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ECB
Posts: 6991 - Karma: 622
It does, but, lots of countries ratings are going down. My problem is, if we all go down, then we are still equal in the same sense. Think about like this. You are in a class where everyone was getting 90's on all the tests. Then all of a sudden you got a 70. But then you found out half of the class also got a 70, and the other half you don't know about yet (countries that haven't been downgraded yet but are on the verge). The teacher would curve it.

Do we get a curve on our rating?


Or am I completely wrong and missing something? Because honestly I feel like I am.
Aug 10 2011 11:01PM
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BootySpunk.
Posts: 8148 - Karma: 84
Dude...I have no idea. Not my field of knowledge.
Aug 10 2011 11:01PM
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.frenchy
Posts: 18221 - Karma: 12,323

So much win in this picture.

So much LmUr swag I can't even put it into words.

Aug 10 2011 11:02PM
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Deluge
Posts: 4401 - Karma: 805
<3
Aug 10 2011 11:03PM
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ECB
Posts: 6991 - Karma: 622
Nor mine, I'm just pissed at the news.


I don't watch the news, it's too depressing. I watched it tonight for the first time in weeks. We got downgraded. Don't know what that means. Then I saw the story about the helo getting shot down. So sad. And the stock market crashed. I'm not watching again for a few weeks.
Aug 10 2011 11:03PM
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marvs
Posts: 27 - Karma: 10
absofuckinlutely
Aug 10 2011 11:14PM
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hoodSlayer
Posts: 900 - Karma: 7
There are a lot more investments than Treasury Bonds (which received the downgrade). For example, many cities and other localities sell bonds to generate revenue for capitol projects. Treasury Bonds are simply one option and now the fact that they've been downgraded just means they aren't necessarily the "safest" option. In my opinion, however, S&P's downgrade was purely political. Ironically, as the market has dropped almost 2000pts in the last 3 weeks, investors have been buying up huge amounts of Treasury Bonds. Come hell or high water you will get paid.
Aug 11 2011 12:14AM
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Dr.Dickless
Posts: 2620 - Karma: 1,392
our countries credit rating is just like a personal credit rating, it means we arent as trustworthy as we used to be at paying our debts, so because we are more risky we have to pay more interest in lending on the global market

its not "curved" because the credit rating company doesnt trust us with their money, it doesnt matter if they don't trust any country, they just wont recommend lending money to anyone
Aug 11 2011 12:25AM
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blah..
Posts: 534 - Karma: 13
It means that the currency will return to gold, and only gold. No paper nonsense. Why the fuck would I want a bunch of printed paper when the economy's spinning out of control like this? /Rant/. = politics/rant.
Aug 11 2011 12:43AM
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rhcp
Posts: 2598 - Karma: 18
Lol. good luck affecting the money supply then.
Aug 11 2011 1:48AM
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rhcp
Posts: 2598 - Karma: 18
Lol. good luck affecting the money supply then.
Aug 11 2011 1:48AM
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blah..
Posts: 534 - Karma: 13
*sigh* I know.. That's the problem. I don't like the insecurity of printed money, but if I drop that then I'm just doing what everyone else is and helping the economic landslide. It's a brutal circle.
Aug 11 2011 1:57AM
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jorb.co
Posts: 2581 - Karma: 468
batteries?
Aug 11 2011 1:58AM
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SeanTom
Posts: 7936 - Karma: 1,747
this suddenly came to mind

Click for larger image
Aug 11 2011 2:05AM
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rudeboy
Posts: 270 - Karma: 375
Lots of countries still have AAA, look at this list http://www.economicshelp.org/blog/economics/list-of-countries-with-highest-credit-ratings/

America just sucks LOL
Aug 11 2011 9:59AM
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quaive
Posts: 1055 - Karma: 99
Canada is still AAA, what does that tell you?
Aug 11 2011 10:01AM
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blah..
Posts: 534 - Karma: 13
I was envisioning something like this. J.K Rowling obviously knows what's up. Click for larger image
Aug 11 2011 10:42AM
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ECB
Posts: 6991 - Karma: 622
Canada has CAA, not AAA. It's the same discount at where I work, but it is different.
Aug 11 2011 8:52PM
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NickSki.
Posts: 2009 - Karma: 61
Aug 11 2011 8:55PM
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Blindsurfer
Posts: 2252 - Karma: 2,792
Fuck what did he say?? Also Canada ftw
Aug 11 2011 9:16PM
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A.Eberhard
Posts: 4426 - Karma: 415
S and P rates the U.S a AA+, but other agencies still rate it as AAA. It doesn't really change anything credit is still readily available and interest rates will stay this low for the next two year.
Aug 11 2011 9:37PM
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adamlukowski
Posts: 3676 - Karma: 311
Good idea! after all this "debt ceiling" and "asteroid on november 8th" shit, i've decided to go live off the land in canada, poaching at whistler everyday i can
Aug 11 2011 9:44PM
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