Who Would Dare Downgrade U.S. Debt?

Weiss is correct. The ramifications of a downgrade to USA, Inc on illusionary economics would be high to say the least. Maintaining the socioeconomic status quo ensures that any recognition of risk or ratings change would happen well after the fact.

In an open letter to Standard & Poor's, Moody's and Fitch on Monday, Martin Weiss argues that the three rating agencies should downgrade U.S. long-term debt. He acknowledges the turmoil it would create, punishing Treasury bonds and causing interest rates to spike. In Weiss's view, however, leaving the AAA-rating untouched could ultimately prove far worse. It gives Congress a free pass to add to the public debt and encourages investors to buy Treasury notes and bonds, whose low yields, he believes, don’t compensate for the dangers.

Source: forbes.com