'..The comparison highlights how arbitrary the ratings decisions are .. But the three most important ratings agencies sit in New York, dependent on Washington's goodwill..'<blockquote>Financial daily
Handelsblatt writes:
"With this Moody's has lowered Germany to the same level as the US … The comparison highlights how arbitrary the ratings decisions are. There is no objective measure of creditworthiness. … Moody's justified the warning to Germany by saying that the euro rescue program has incurred high risks that would be too much if countries in crisis go broke. That is true."
"But the three most important ratings agencies sit in New York, dependent on Washington's goodwill. … If one were to interpret the political meaning of the ratings warning to Germany, what would it say? It weakens the position of the Bundesbank, Germany's central bank, which the US government is very unhappy with. … The bank's aim is for every country to remain fully responsible for its own finances as long as Europe isn't a federal state. But that means that the risk of bankruptcy for countries in crisis remains high … and the message from Moody's is that this too threatens Germany's rating. The aim is to weaken the argument against introducing communitized debt in the form of euro bonds."
- Der Spiegel (
Source, 07/25/2012)</blockquote>
Context<blockquote>
'..the current monetary system, based on credit expansion .. “manic-depressive” behavior..''Bernanke Is Destroying The Savings Class''..America..' - '..credit excess .. detrimental effects on the .. economy.''..banks and sovereigns .. defaults are allowed to happen..''Ron Paul Is More Mainstream Than His Opponents'</blockquote>