Op-Ed: How To Avoid A Debt Doomsday
CNN Money | October 17, 2010
Commentary: Maya MacGuineas is the director of the fiscal policy program at the New America Foundation.
As the chairman of Standard & Poor's sovereign rating committee recently warned, it is critical that policymakers consider the recommendations of the commission or it could jeopardize our AAA credit rating.
The states: If the fiscal situation is bad at the federal level, it's even worse for many states. A state or even a local government attempting to default on its legal obligations could be enough to roil credit markets.
Just a few years back it would have been hard to imagine that talk of a full-blown U.S. fiscal crisis would be anything other than fear mongering. Now, however, these scenarios are starting to feel alarmingly possible. Let's hope Churchill was right.