The Parallels of the S&P Downgrade and Libya

Last Friday, the ratings agency Standard and Poors (S&P), in an odd episode of semi-sanity, decided to stand firm against the United States government and downgrade American debt from the golden AAA to AA+. The empire, being caught naked yet again, went into a fit of fury. President Obama dismissed the downgrade, not considering it an indictment of America’s economic condition. Rather, he said the downgrade occurred “because after witnessing a month of wrangling over raising the debt ceiling, they [S&P] doubted our political system’s ability to act.” Tax cheat Tim Geithner blasted S&P’s “really horrible judgment” and “lack of knowledge.” And former economic adviser to Obama, Christina Romer, spoke the truth saying that the US is “pretty darn fucked.”

While the state of America’s finances is certainly not worthy of even a AA+ credit rating, all of America was woken up. There is something terribly, terribly wrong with the USS America and if reforms are not instituted quickly, the ship will quickly sink to banana republic status. But despite the downgrade which could have been much, much worse, America’s politburo had a conniption. Why?

S&P dared to go where no credit rating agency has gone before. It defied the US government. Because of this audacity, the cozy relationship between S&P and D.C. all but vanished.  Besides the toothless Levin and Coburn Senate report that effectively resulted in a matriarchal chastising of Goldman Sachs and the ratings agencies, and was published before the downgrade, not much was said:

It was not in the short term economic interest of either Moody’s or S&P, however, to provide accurate credit ratings for high risk RMBS and CDO securities, because doing so would have hurt their own revenues. Instead, the credit rating agencies’ profits became increasingly reliant on the fees generated by issuing a large volume of structured finance ratings.

Of course the SEC and other comical regulatory bodies “missed” these rampant abuses and frauds in the lead up to the housing bubble; it allowed for the show to go on. The gravy train was going to keep on chugging until it ran out of fuel. The American economy was fine and dandy, until the day of reckoning came. However, even in the immediate aftermath of the collapse of the American economy, the relationship of convenience was maintained. The quid pro quo lived on: rating agencies were free to keep the American people and investors under the illusion that everything was AAA-OK as long as that meant the people stayed off the streets. The Oracle of Omaha and Whore of Wallshington St., Warren Buffett, absolved the rating agencies:

 I am much more inclined to come down hard on the CEOs of institutions that caused the United States Government to come in and necessarily bolster them than I am on somebody that made a mistake that 300 million other Americans made.

The ancient Oracle truly outdid himself this time. Holding people accountable for failing to do their job or doing it poorly? Forget about it!

Such sleazy alliances of convenience permeate American foreign policy. Libya is perhaps the most glaring example of the new Millenium. The Gulf of Sidra incident and the Lockerbie bombing ended all hopes of normalized relations between America and Libya. Then, in December of 2003, Libya, in hopes of not being the next Iraq, announced that it would cease and destroy all weapons programs that the international community deemed unacceptable. The Great Resistor of Imperialism in the Maghreb folded without much of a fight. By May of 2006, an American embassy in Libya was opened and Libya lost its designation of state sponsor of terrorism. Moammar Gaddafi even went to far as to helping the United States fight the “War on Terror.”

But then the Arab spring came. Libyans from all walks of life rose up against dictator Moammar Gaddafi. Just like Syria’s Assad, Egypt’s Mubarak, and Bahrain’s King Khalifa, this thug acted brutally, repressing the people’s peaceful calls for social, political, and economic reform. America, desperate to actually look like they stood for human rights, decided to act. Little did Washington know, much of the world watched as America turned a blind eye to brutal repression in Egypt, Bahrain, and Yemen, all allies of the United States. NATO and the US, however, had to do something about pesky Moammar Gaddafi. They finally got their chance with Operation Odyssey Dawn.

Civilians, Gaddafi loyalists, and rebels alike were bombed to bits by NATO and US planes in hopes of regime change. The Libyan Transnational Council was quickly recognized as the rightful representatives of the Libyan people. The mission was pretty much complete, although Gaddafi still remains at large.

While S&P remains in business, their offices are being raided in Italy. Perhaps the same fate awaits S&P’s Washington bureau. Only time will tell. One thing is for certain, however. Moody’s will continue to be Washington’s right hand man until they, too, bite the hand that feeds.

5 thoughts on “The Parallels of the S&P Downgrade and Libya”

  1. the war on Libya was instigated by the exiles and alkada prisoners along with a few insergents…
    The march in benghasi was actually supporters of the Libyan leader but a j news reported the opposite the ppl were carring green flags but that wass not acknowledged byt he media..
    NATO is destroying and killing the civilians
    there were millions protesting the BOMBING done by NATO all in support with the green flag for the Libyan Leader…
    But the Media is not telling the truth about Libya nor about Syria…
    They are intentional invasions at the cost of the peaceful civilians of the countries…
    Ask any African all that the LIbyan Leader has done for African nations

  2. noam chomsky is a fraud
    Talks out of both sides of his mouth
    it all adds up to nothing
    He supports the zioshills

  3. The Libyan Crisis is not instigated by popular uprising like Egypt and Tunisia. On the contrary, in Libya, Muammar Gaddafi has the popular support of the Libyan People. The Libyan's had hardly much complaint to rise up against the Leader of their Green Revolution, who has brought Libya up to a very high standard of Living in Africa, as indicated on Human Dev. Index .What is happening in Libya is a counter Revolution instigated by foreign support of ex-pats ,Al-Quida and a minority of insurgents,whos gripe is not political nor economic but is based on religious and racial and tribal feuds.The majority of Libyans still support their Leader Muammar,hand have demonstrated that by their millions having taken to the streets to demonstrate against NATO-rebel Alliance, as well as support for Muammar Gaddafi. Chinese media put the total number of Libyans who marched at close to 1.7 million alone in Tripoli. Muammar has done great things for not just Libya but also for Africa at large. He is a respected and beloved leader by the majority of Libyans and Africans. Pls. check your facts before calling this great man names he does not deserve to be called. As for the accusation that he bombed, killed his own people , that has long been debunked by Russian satellite detection.No such thing ever took place.The rebels were not peaceful protesters but an armed gang/group,which any government will try to subdue. The truth is that U.S. and all the NATO hyenas are there to privatize Libya,for the Oil Barons and Banksters as well as seeking to install a military base in Libya through the African Command.(Africom).,as part of their long term further encroach on the African Continent to ensure their Imperial hegemony and to guarantee the continuation of the looting of African Resources. There is no way the Libyan Leader would still be around today with his government and army pretty much intact after five month of fighting and all bombings NATO has unleashed on Libya. Rebels also have tried to to topple him, but it evident now, they are losing on the ground, since,if he indeed does enjoy the support of all the 2000 Libyan Tribes, who have professed their alliance and loyalty to him and the Libyan government. Just because Western media does not report all these facts does not make them go away. The truth is. there is no popular support in Libya for pro-NATO Rebels,and their so-called TNC council,regardless and even if the NATO nations have given them recognition as the "only legitimate Libyan government."

    1. So you think half a dozen Muslim countries rise up against their leaders is a coincidence or a political plot? Politicians have long been controlled by the Rothschild cartel! they controlled 50% of all world resources by WW1 and are up to probably 70% or so by now. They stranglehold most governments via the central banking system most government HAVE to borrow from, and issue most world currencies as a private conglomerate. The Federal Reserve, Bank Of England, European Central Bank, World Bank and IMF among many others are all part of their cartel. The Federal Reserve has never been audited!The IMF has 2/3 of the world gold supplies. The cartel is aiming for a one world currency and is trying to persuade regions to consolidate currencies. The big hit was the Euro. They seduce governments to enter wars, since all expenses of these governments have to be borrowed from them and a war will double and triple a government's budget. Most wars the US fought including WW1 WW2 Korea Vietnam Desert Storm And now Afghanistan and Iraq were entered on fabricated intelligence. 911 was not committed by Al Quaeda! Bush was good friends with Osama and the families even vacationed together occasionally. This is backed by facts not just rumors. Grave mistakes were made in the planning and execution of 911. The inconsistencies when analyzed by experts point to self infliction to enter a war. These tactics have brought the US and several other countries countries to their financial knees. It is a mathematical impossibility for the Us government to pay the current debt off, because all the money that currently exists in the US combined dwarfs the debt amount. These uprisings will soon be used as another step to suggest a world government. The UN is Rothschild's brainchild after their "league of nations" idea following WW2 was rejected by the US. So it is not about Muammar or his country or Al Quaeda, It is about the Rothschild cartel wanting a one world currency, government and one world Central bank. He who has the gold has the power!! Not the oil

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