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View Diary: The Promise of America Vs. The Gang Of Six (24 comments)

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  •  This does seem to (1+ / 0-)
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    come right down to where the Democrat's in DC stand as far as representing the people. I am not naive or purist enough to not believe that compromise is necessary in a Democratic representational system. I do not think that these so called negotiations are about compromise they are about the implementation of 'the ownership society' the one the Bushies dreamed of.

    the plot thickened today as Moody's had this to say about the gang of six. I agree with David Dayen here, this is the shock doctrine in action.

    Gang of six aided by Moody's

    'Given the Catfood Commission II plan attached to McConnell-Reid, there are no good options. But in an extremely telling turn of events, Moody’s, the credit rating agency, has come out and stated that they would downgrade US debt EVEN IF MCCONNELL-REID PASSED.


     A backup plan to raise the U.S. debt ceiling and avoid default could still lead to a negative outlook on the country’s ratings, Moody’s said on Tuesday, highlighting the plan’s failure to substantially reduce the deficit.

        The back-up plan offered by Senator Mitch McConnell would avoid any immediate downgrade of the coveted U.S. triple-A rating, Moody’s analyst Steven Hess told Reuters in an interview, bringing relief to investors who fear an imminent downgrade of the coveted U.S. triple-A rating.

        “But the numbers that are being discussed in terms of any possible deficit reduction coming out of this plan don’t seem to be very large,” Hess said. “Therefore, this plan might result in a negative outlook on the rating.”

        A negative outlook is a sign the rating may be downgraded in 12 to 18 months.

    Now there’s the Shock Doctrine in action, folks. Credit rating agencies are making value judgments on US fiscal policy at a time when bond traders are showing themselves to be wholly unconcerned with Treasury debt even BEFORE a $1.5 trillion package of reductions. The same Moody’s analyst said that the Gang of Six proposal would lead to an affirmation of the triple-A rating. The rating agencies, as much of a cause of the financial crisis as anyone, are choosing winners and losers on US policy. The markets rose on the Gang of Six News yesterday as well.

    The one bright spot was Rep. Raul Grijalva’s message to the Gang of Six, saying that they had 6 and the Progressive Caucus had over 70 signers onto a bill to vote against Social Security and Medicare benefit cuts, including newest Congresswoman Janice Hahn. “We outnumber you,” Grijalva said in a press release. '

    We need to stand up and take back our party from these third Wayer's who mean to do the people harm and call it the world as we find it.

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