Jesusfuckingkriist they made a MATH error? Seriously? Does S&P have ANY credibility?

[Zenlitened]

At some point, we're going to have to laugh the world's "financial titans" off the stage... or tar and feather 'em. :grr:

...Treasury Department officials said that the S.& P. announcement was delayed after Treasury found a serious mathematical error in a draft of the downgrade announcement, which was provided to the government Friday afternoon. The officials said that S.& P. inadvertently added $2 trillion to its projection of the federal debt, significantly overstating the problem confronting the government.

Treasury said that S.& P. conceded the problem after about an hour of discussion.

http://www.nytimes.com/2011/08/06/business/us-debt-downgraded-by-sp.html?_r=1&hp

[Ian David]

1. They also said we have to raise taxes on the rich...

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=439x1674021

[Zenlitened]

4. They don't have the credibility to be commenting on ANYTHING more complicated than a sudoko puzzle.

Or maybe the Junior Jumble.

Seriously, this is exactly the sort of reason we needed to bust up Big Finance when the crisis hit.

They have no accountability, but can cause harm with the wave of a hand.

[Ian David]

6. Math is hard. n/t

[girl gone mad]

8. You're right, they should have been broken up and put out of business..

after their culpability in the financial crisis.

Obama refused to take that step.

[Glimmer of Hope]

2. Didn't Boner bungle the numbers too?

[frazzled]

3. Okay, now I know this was all political maneuvering

I'm not a conspiracist, but it's kind of clear this downgrade was gonna happen no matter what ultimately occurred in those debt ceiling talks, even if they had to use funny math to do it. In fact, I'm beginning to feel the whole dog-and-pony show was conducted by the Republicans just to get that S&P downgrade on the books. Shameful.

[MrModerate]

5. These are the same guys who evalatuated all the exotic financial instruments . . .

Being peddled by the banking industry in 2000-2008 as Jim-Dandy-AAA+-No-Problemo investments.

Hey, that's good enough for me. I'm going to dump all my dollars and move into the Thai Bhat. Oh, wait! I don't have any dollars to dump.

Darn.

[quiller4]

9. As Barney Frank said S & P seriously over rates private debt

all the time making it seem safer than it is. At the same time it seriously under rates public debt causing states and municiple governments to pay far more than they should in interest.

None of the ratings agencies have great reacords but tandard and Pors has the worst of the big three. Firch is probably the most reliable but even Fitch mis-rated some of the securitized mortgage debt. They just didn't offer ratings on as much of it as S & P did.

[Zenlitened]

10. Exactly. Exactly. That these companies still have a platform to preach from...

...let alone the sheer NERVE to continue preaching... it's beyond absurd.

Failure so monumental needed to be punished... if not by The Gummint then by the "free market."

But, then, we all know just how "free" the "market" really is. :grr:

[indurancevile]

7. psyops.

[EFerrari]

13. Or maybe the bagman was late.

lol

[Sarah Ibarruri]

11. And these capitalistic idiots determine our future? GREAT. nt

[MrModerate]

14. To be realistic, captitalists are going to have the greater influence over our future . . .

Than, shall we say, communists or mercantilists.

Let's just hope it's not the idiots.

[Sarah Ibarruri]

15. Capitalists so far have sunk us. nt

[MrModerate]

16. As well as floated us. Your point? n/t

[Sarah Ibarruri]

17. Floated us where? Down into the deep recesses of the toilet? nt

[MrModerate]

19. You might want to reconsider that rhetorical tactic . . .

of slashing out with a provocative line and then retreating. You risk being judged about as serious as a kid snapping towels in the high school locker room.

In any case.

Capitalism is responsible for most of the wealth the human race enjoys. Even countries that profess to other economic systems actually operate in a quasi-capitalistic fashion. And even in North Korea there are at least a few entrepreneurs who gather capital which then enables them to offer products and services for profit.

The salient facts about those who crashed our economy is not that they were capitalisists, but that they were irresponsible, foolish, and criminal. They haven't invalidated capitalism, just valdidated the fact that it needs to be effectively regulated.

[KeyserSoze87]

12. All these credit rating agencies must go.

They're not part of the solution, they're part of the problem. And I just know that the markets are going be tanking on Monday because of these morons. :banghead:

[LaydeeBug]

18. Not only that, but they'll leave it like this just to save face. nt