If the credit agencies downgrade the US, so what. It's all an attempt to manipulate workers.

Private capital heads for safety; the taxpayer

Workers should not panic about all the talk in the mass media (the news directed at us) about the US losing its triple A credit rating.  The capitalists aren't worried about it. What the hell is a credit rating agency anyway except an institution of capitalism that tells capitalists where the most profitable place to invest their money is

If the credit rating agencies "downgrade" the US credit position, big deal.  As working people we have to recognize that this is just another institution of capitalism. The capitalist class is not too worried.  The Wall Street Journal agrees; "Japan, Canada and Australia, among others, have all suffered the ignominy of being downgraded from top credit ratings" the WSJ writes today.  No bigee. "Borrowing costs remained fairly steady and, in some instances, eventually declined" the main journal of US capitalism announced.

The main issue for the owners of capital is can they still keep on making money without working and it appears that they can. "When a downgrade happened in the past", says one banker, "..The reaction wasn't positive but it wasn't extreme."  It seems the bankers think that if the US credit rating is downgraded it could be a positive thing in the long run if it "prods policy makers to get the government's fiscal house in order."  Translated this means if the politicians can speed up the process of shifting the crisis of capitalism on to the backs of the workers and middle class. More foreclosures, job cuts, cuts in public services.

Look at what the Wall Street Journal says about the situation.  In the past, "While the circumstances and economic paths differed, the impacts of the ratings change itself weren't significant."  The WSJ does touch on the main problem which is the "underlying economic trends" which is profitability and the crisis of overproduction/overcapacity which is overcome, albeit temporarily in a capitalist economy by credit.

I was chatting in my local pub tonight with a few of my friends.(Many political ideas are exchanged in social settings).  The concern was this catastrophe that looms if the US defaults.  But this is a scam.  Where else will investors go at this point?  The Euro?  I don't think so.  Greece has been bailed out for the second time and Spain, Italy, Ireland and Portugal may well follow. Economists at Bank of America estimate that the EU needs an additional 700 billion Euros to cover a bond crisis in Italy and Spain.  Yet the fund for bailing out the sovereign debt of these weakest EU states has only 323 billion Euro in it.  Other estimates say that two trillion Euro are needed to save the day. The EU is not where the coupon clippers are heading for some free money.

No folks, the US treasury is the best game in town.

The debate that dominates the mass media in the US about default and the catastrophe that would ensue is merely another attempt to divert attention away from the crisis and who is responsible for it.  The only options on the table in the US is taxing workers and the middle class or cutting spending that benefits workers and the middle class.  The doomsday scenario is yet another attempt to get us to passively accept that we have to pay for this crisis of theirs.  US treasury debt is, as the WSJ points out, "the most widely held investment" in the world so there will be no rapid exit from it in the immediate term. This doesn't mean that the crisis isn't severe; it is.  The US capitlaist class is serious about driving us back to the conditions that existed prior to the strikes and factrory occupations that arose in the 1930's and the civil rights movement of the 1950 and 60's

But the force that the US bourgeois, or US capitalism fears the most is its own working class.  This is why their propaganda is directed in the way it is. For Christ's sake; doesn't that tell us something?