After weeks of standing by his convictions that the problem with our country is the DEBT that we owe, NOT the debt ceiling, Representative Joe Walsh was proven right as the credit rating agency Standard & Poor lowered the nation’s AAA rating to AA+ saying that the promised cuts were not enough to satisfy them. All three credit reporting companies had warned that if Congress did not cut spending enough, they would all downgrade their ratings. Moody’s Investor Service & Fitch has also indicated that it might lower their rating.
Representative Walsh was a driving force of the Cut, Cap, & Balance Act that Senator Harry Reid literally tossed in the wastebasket and didn’t allow it to be voted on in the Senate.
Standard & Poor also issued a negative outlook and may even lower their rating further if they see smaller cuts over the next two years than Congress and the administration have agreed on.
Friday, Italy pledged to swiftly work on a constitutional amendment requiring their government to balance the budget. This measure was in response to Italy’s credit crisis. If the USA doesn’t act swiftly to reduce their DEBT they will soon find themselves in a similar situation. One of the items that was part of the recent debt ceiling agreement was that an amendment to ‘Balance The Budget’ must be voted on in both the House and the Senate which means Harry Reid CAN’T place it in his ’round file’ again. It is time for the Senators to let their constituents know, before the election, where they stand on a Balanced Budget Act.