matter at all. it doesn t have to hurt at all. remember the reason that we should fear a debt down grade is because if the debt is looked at as messier and more risky, then the u.s. has to pay far higher interest rates and we will go bankrupt we can t pair our debt. they downgraded us in august and the stock market plunged from 12,000 to 10,000, and interest rates that the u.s. has to pay on treasures went down and not up. the debt was cheaper. why? because when the entire world is in a panic, the u.s., even if it was the thing that set up the panic, turns out to be the best place to go and the safest place to go. so in reality doesn t have to hurt at all. now on wall street where reality has very little to do with it, wall street could decide i m squared again. and they have been gyrating between fear or hope or agreed all summer long. will the fear come back in? i m hoping wall street will say this time well, the first down grade didn t hurt so we don t have to worry about the next
trillion in cuts over ten years, raises the debt ceiling about about the same amount, sets up a bipartisan committee to find other ways to trim another trillion and change from the deficit. think of it as a deficit posse. it calls for both chamber of commerce eventually to pass a balanced budget amendment to the constitution. they don t actually have to pass it, they just have to vote on it. and the president and house speaker admit that the plan is not perfect, but hey, there s a deadline tomorrow. here s what the president said, then you ll hear from a freshman republican who, by the way, is dressed casually. give him a break, it was late on sunday night. now, is this the deal i would have preferred? no. but this compromise does make a serious downpayment on the deficit reduction we need and gives each party a strong incentive to get a balanced plan done before the end of the year. and to have bold changes to something so systematically broken is going to take time. i u
matter at all. it doesn t have to hurt at all. remember the reason that we should fear a debt down grade is because if the debt is looked at as messier and more risky, then the u.s. has to pay far higher interest rates and we will go bankrupt we can t pair our debt. they downgraded us in august and the stock market plunged from 12,000 to 10,000, and interest rates that the u.s. has to pay on treasures went down and not up. the debt was cheaper. why? because when the entire world is in a panic, the u.s., even if it was the thing that set up the panic, turns out to be the best place to go and the safest place to go. so in reality doesn t have to hurt at all. now on wall street where reality has very little to do with it, wall street could decide i m squared again. and they have been gyrating between fear or hope or agreed all summer long. will the fear come back in? i m hoping wall street will say this time well, the first down grade didn t hurt so we don t have to worry about the next