Moe Tkacik nails it on the S&P downgrade:
Standard & Poor's real bet here is that the US government is too gridlocked to come together and extend a firm few fives-across-the-eyes to the ratings agencies for talking shit. Permanently reviving the SEC's "experts" rule seems like as good a place as any to start, and I'm sure it would leave plenty of room to escalate.
Now, if this is a winning bet, what are the odds the other agencies won't pile on eventually? And what are the odds that their recommendations for US policy will be any less idiotic than S&P's focus on government deficit reduction during a depression?
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