Obama's Remarks on the U.S.' Credit Rating, August 2011

U.S. lawmakers' brinkmanship over raising the debt ceiling could have prompted a series of moves--the downgrading of U.S. debt by Standard and Poor's being one--that could cause a selloff of U.S. securities and an end to the primacy of the dollar, writes CFR's Francis Warnock.

In this research update, Standard & Poor's explains their rationale behind lowering the long-term sovereign credit rating on the United States of America to 'AA+' from 'AAA' and affirming the 'A-1+' short-term rating.

A tumultuous week in global markets that saw major indexes plunge aroused concerns of a double-dip recession driven by U.S. economic lethargy and the European Union's resurgent sovereign debt crisis.

Despite global market fears of a U.S. credit downgrade, U.S. treasuries will remain the safest bet for international investors, says global economics expert Kent Hughes.

While a last-minute deal was able to raise the U.S. debt ceiling ahead of default, global investors are frustrated by the unnecessary brush with crisis and by the culture of U.S. political brinkmanship. The long-term impact on U.S. treasuries is unclear.

As partisan wrangling over the U.S. debt ceiling continues in Washington, fears are mounting that a default could trigger another global economic crisis. This guide offers timely analysis on the global implications of the U.S. debt crisis.

A tentative agreement on raising the debt ceiling falls far short of the deep reforms needed to improve U.S. spending patterns and the country's global standing, writes CFR's Sebastian Mallaby.

Whatever the outcome of the debt ceiling debate, many analysts expect a downgrade in the U.S. debt rating because of doubts about deficit-reduction plans. The fallout could include higher borrowing costs, a weaker dollar, and market turbulence.

In his piece for The New Yorker, James Surowiecki argues that instead of figuring out ways to raise the debt ceiling, Congress should simply go ahead and abolish it.

David S. Abraham and Meredith Ludlow argue, "...Congress' implication that the United States may not repay its debt unless the government restructures domestic spending is undermining American interests in Asia."

Sebastian Mallaby suggests that the European Central Bank could stem contagion by taking a cue from the Federal Reserve.

The current level of political dysfunction and ideological polarization in Congress is beyond the norm. A broken legislative branch risks plunging the United States into an economic catastrophe and damaging the nation's global standing, writes Norman Ornstein.

CFR director of studies James M. Lindsay and senior fellow Sebastian Mallaby discuss the bipartisan proposal from the "Gang of Six" senators to reduce deficits by nearly $4 trillion over the coming decade, and the challenges facing Europe and the United States over the debt crisis.

Eurozone leaders meeting for tomorrow's summit are unnecessarily worried about contagion to Italy, but a growing sovereign debt crisis highlights the role of politics in the markets and the need to find common, EU-wide solutions, says expert Franco Pavoncello.

In his piece for the London Review of Books, Josh Lanchester discusses the economic crisis in Greece, offering different approaches for improving a rather "dismal" situation.

This analysis outlines eight reasons why the "Theory of Inevitable Compromise"--that Republicans and Democrats will ultimately hammer out a deal to raise the nation's debt ceiling ahead of August 2--may not hold true in this instance.