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Understanding the current economy for Dummies
#75
I don't know the first thing about selling government securities but I would be willing to bet that large investors like the Chinese government have an army of analysts who are as capable of assessing the risk of loaning the US government money as any of the companies that publish these ratings. Lowering the rating may give such buyers leverage to negotiate a better rate of return but we will soon see what, if any impact it has on interest rates.
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Understanding the current economy for Dummies - by Hoot Gibson - 08-05-2011, 09:50 PM

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