by Susan E. Carr

Created on: August 10, 2011   Last Updated: August 22, 2011

The recent downgrade in the credit rating of the United States came as somewhat of a shock to many Americans. Stunning as this appeared to be to the United States and the world as a whole, it was something that had been hovering on the horizon for a number of months, and even years. Those who follow world economics and politics would also have been aware of increasing global concern at least since the recent recession. 

Financial problems have been highlighted and newsworthy in the ensuing months as it has been widely broadcast that Americans were and continue to loose their jobs and their homes to bank enforced sales and foreclosure. A good indicator of economic health in any country is found in the real estate market.  However, it is unlikely that solvency was as much of a concern as the political rhetoric which when observed by other countries caused grave concern regarding the ability of the United States to reach concensus.  Americans were not in denial when it came to their own concern of whether or not their politicians could handle the problems in the economy in a way that provided confidence.   

An important factor in whether or not something is owned and/or denied within a country usually depends on the level and quality of news reporting. Very often items are reported far differently from country to country rather than within the country of origin. There are a number of reasons for this, including "special interest", which includes keeping the population content while downplaying the negative - especially when it comes to the economy. Reporting may, and often is, designed to calm the populace rather than to incite anxiety. While this does serve an important purpose, it also results in citizens who are not aware of the true nature and extent of the economic situation. 

For instance, following the recent downgrade a guest speaker asked to comment on a nationally broadcast news program suggested that the "world" (meaning S&P) had no business to "poke their noses" into the affairs of the United States. The connection between what is currently owed to countries around the world was not highlighted in this particular piece of reporting. However, moments later this same guest made the comment that the United States should have been forewarned that the downgrade was imminent. This

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