Aug. 9, 2011
NASHUA, N.H. — Although markets made small gains Tuesday after plummeting more than 600 points Monday, investors remain concerned about the results of Standard & Poor's decision to downgrade U.S. debt from AAA to AA+, Europe's ongoing debt crisis and growing concern about the possibility of a global recession.
Speaking Monday, Republican presidential hopeful Mitt Romney said President Barack Obama was to blame for the economic uncertainty by not paying enough attention to the demands of Congressional Republicans.
"Republicans have made it very clear from the very beginning, particularly following the November elections, that they, like the American people recognize that government is too big," Romney said. "Republicans said, 'Mr. President, you have to rein in the excessive growth of government.' And that’s exactly what S&P was saying."
For their part, the S&P said they were downgrading their view on U.S. creditworthiness because they weren't convinced the government could find a way to reduce its debt burden. "The downgrade reflects our view that the effectiveness, stability, and predictability of American policymaking and political institutions have weakened at a time of ongoing fiscal and economic challenges," said the S&P in a statement.
In a televised speech of his own, President Obama insisted that the downgrade was misguided and the American economy remains strong.
BROWN: DEBT, NOT PARTISANSHIP, HURT U.S. CREDIT RATING