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|Wednesday, August 10, 2011|
BY PATRICK EMERSON
My my take on the whole Standard & Poor's downgrade is that the S&P action was essentially a non-action. There is no new information out there that they revealed, they simply gave their opinion about the chance of a U.S. default which is slightly higher now that Washington has revealed a new and higher level of disfunction. The S&P statement was a political statement, not an economic one.
Patrick Emerson is author of the Oregon Economics Blog and an associate professor of economics at Oregon State University.
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