ArtsAutosBooksBusinessEducationEntertainmentFamilyFashionFoodGamesGenderHealthHolidaysHomeHubPagesPersonal FinancePetsPoliticsReligionSportsTechnologyTravel

The United States and Its A Credit Score. Moody's Threatens To Lower AAA U.S. Credit Rating

Updated on May 3, 2012

Moody's has warned the UNITED STATES that the country has a chance of having its credit score lowered.

Right now the United States is rated right at the top of countries with a AAA credit rating. Recently Moody's Investor Service has warned that if the countries burgeoning economic recovery does not develop into a complete recovery, then the countries credit rating is in peril.

Moody's is a credit rating agency, it has made warnings that should the United States economy not grow at the pace that is expected. Than the largest economy the world has known which is already extended in its finances could have already had its credit overextended. This could have the result that the AAA credit rating that the United States now holds is in danger of being lowered.

If the United states does lose its AAA rating, it would cause the country further economic troubles. It would cost us more to repay the gigantic debt that the Nation currently finds itself buried under. This just might become a reality for a country that is currently running a one and a half TRILLION dollar deficit, this year alone.

If the United States loses its AAA credit rating, the people of the United States may never pull out of this Recession.
If the United States loses its AAA credit rating, the people of the United States may never pull out of this Recession.

The United States Is Not Alone!

The UNITED KINGDOM received a similar warning in January even before the warning was given to the UNITED STATES. The Head of sovereign ratings, Moody's Pierre Cailleteau, told the UK that it would need a budget plan to retain its high-grade debt status.

The warning received by the US came as a sort of surprise. Six weeks earlier Moody's said that it had no intention of changing the US's debt rating. Moody's actually described the US's outlook as stable?

Moody's senior credit officer, Steven Hess,in Moody's Sovereign Risk Division recently told Reuters that economic growth is incredibly important to Moody's assesment of the sovereign rating.

Mr. Hess made the point that even though President Barak Obama has a recent budget for 2011 as well as related financial projections which have all been based on strong growth, the reality of the growth may be much lower then expected. Mr. Hess has claimed that he has some optimism that the United States can return to the path of growth it held before plummeting into the current recession.

The Solution!

 In order to protect our credit rating, we need to be fiscally responsible as a Nation.  We need to either cut spending or raise revenues.  Since the revenues would put further burdens on the American people it would make more sense to cut spending.

As with the average American family, we need to live within our means if we do not want to find ourselves in bankruptcy.  The private sector needs to be unleashed to expand and create jobs to lower the countries unemployment.

The more people working equates to a higher return of revenue.  It is really pretty simple if you think about it.

The United States cannot afford to lose its credit rating.



The materials available on this hub are for informational purposes only and not for the purpose of providing legal advice. You should contact your attorney to obtain advice with respect to any particular issue or problem. All materiel are copyrighted properties of the author and may not be used without permission of the author.

To read more articles by Reality Bytes!


This website uses cookies

As a user in the EEA, your approval is needed on a few things. To provide a better website experience, uses cookies (and other similar technologies) and may collect, process, and share personal data. Please choose which areas of our service you consent to our doing so.

For more information on managing or withdrawing consents and how we handle data, visit our Privacy Policy at:

Show Details
HubPages Device IDThis is used to identify particular browsers or devices when the access the service, and is used for security reasons.
LoginThis is necessary to sign in to the HubPages Service.
Google RecaptchaThis is used to prevent bots and spam. (Privacy Policy)
AkismetThis is used to detect comment spam. (Privacy Policy)
HubPages Google AnalyticsThis is used to provide data on traffic to our website, all personally identifyable data is anonymized. (Privacy Policy)
HubPages Traffic PixelThis is used to collect data on traffic to articles and other pages on our site. Unless you are signed in to a HubPages account, all personally identifiable information is anonymized.
Amazon Web ServicesThis is a cloud services platform that we used to host our service. (Privacy Policy)
CloudflareThis is a cloud CDN service that we use to efficiently deliver files required for our service to operate such as javascript, cascading style sheets, images, and videos. (Privacy Policy)
Google Hosted LibrariesJavascript software libraries such as jQuery are loaded at endpoints on the or domains, for performance and efficiency reasons. (Privacy Policy)
Google Custom SearchThis is feature allows you to search the site. (Privacy Policy)
Google MapsSome articles have Google Maps embedded in them. (Privacy Policy)
Google ChartsThis is used to display charts and graphs on articles and the author center. (Privacy Policy)
Google AdSense Host APIThis service allows you to sign up for or associate a Google AdSense account with HubPages, so that you can earn money from ads on your articles. No data is shared unless you engage with this feature. (Privacy Policy)
Google YouTubeSome articles have YouTube videos embedded in them. (Privacy Policy)
VimeoSome articles have Vimeo videos embedded in them. (Privacy Policy)
PaypalThis is used for a registered author who enrolls in the HubPages Earnings program and requests to be paid via PayPal. No data is shared with Paypal unless you engage with this feature. (Privacy Policy)
Facebook LoginYou can use this to streamline signing up for, or signing in to your Hubpages account. No data is shared with Facebook unless you engage with this feature. (Privacy Policy)
MavenThis supports the Maven widget and search functionality. (Privacy Policy)
Google AdSenseThis is an ad network. (Privacy Policy)
Google DoubleClickGoogle provides ad serving technology and runs an ad network. (Privacy Policy)
Index ExchangeThis is an ad network. (Privacy Policy)
SovrnThis is an ad network. (Privacy Policy)
Facebook AdsThis is an ad network. (Privacy Policy)
Amazon Unified Ad MarketplaceThis is an ad network. (Privacy Policy)
AppNexusThis is an ad network. (Privacy Policy)
OpenxThis is an ad network. (Privacy Policy)
Rubicon ProjectThis is an ad network. (Privacy Policy)
TripleLiftThis is an ad network. (Privacy Policy)
Say MediaWe partner with Say Media to deliver ad campaigns on our sites. (Privacy Policy)
Remarketing PixelsWe may use remarketing pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to advertise the HubPages Service to people that have visited our sites.
Conversion Tracking PixelsWe may use conversion tracking pixels from advertising networks such as Google AdWords, Bing Ads, and Facebook in order to identify when an advertisement has successfully resulted in the desired action, such as signing up for the HubPages Service or publishing an article on the HubPages Service.
Author Google AnalyticsThis is used to provide traffic data and reports to the authors of articles on the HubPages Service. (Privacy Policy)
ComscoreComScore is a media measurement and analytics company providing marketing data and analytics to enterprises, media and advertising agencies, and publishers. Non-consent will result in ComScore only processing obfuscated personal data. (Privacy Policy)
Amazon Tracking PixelSome articles display amazon products as part of the Amazon Affiliate program, this pixel provides traffic statistics for those products (Privacy Policy)
ClickscoThis is a data management platform studying reader behavior (Privacy Policy)