Source: Independent Institute
by Craig Eyermann
“On Friday, November 10, 2023, Moody’s Investors Service sent Washington, D.C.’s politicians and bureaucrats a clear warning. The credit rating service announced it was changing its outlook on its AAA credit rating for the U.S. government from ‘stable’ to ‘negative.’ That statement is a proverbial shot across the bow. It means the U.S. government is now at high risk of losing its top credit rating status. It is already two-thirds of the way there, following Standard & Poor’s downgrade of the U.S. government’s credit rating in 2011 and Fitch Rating’s downgrade this past summer. Both credit grading services stripped the U.S. government of their top credit scores, and the government pays more to borrow to support its excessive spending as a result. Following its announcement, Moody’s is poised to make it a clean sweep within the next 18 to 24 months without action by politicians to address the U.S. government’s worsening fiscal situation.” (11/13/23)
https://blog.independent.org/2023/11/13/moodys-government-aaa-credit-rating