What do Most Countries with AAA Ratings Have in Common?

Sep 2009
20,209
1,559
#1
Universal Healthcare

Remaining countries with AAA credit ratings:


The markets have been roiled about S&P's downgrade of the U.S., and the likely new recession that will come from the austerity measures. When we last covered the full list of nations that still have triple-A ratings from key credit rating agencies our point was simple: there are some strong triple-A nations and some weak triple-A nations. As of today, there are many more weak triple-A ratings than there were just six months ago.

Moody’s affirmed the U.S. government’s AAA rating, but with a negative outlook. Fitch also affirmed its AAA rating for the U.S., but warned that the rising debt profile to over 100 percent of GDP (after 2012) is not consistent with retaining the crucial AAA sovereign rating.

As a result of the weakening economy, and following the ratings agency actions, 24/7 Wall St. has decided to reassess the entire global triple-A landscape. Our previous take was that some nations already seemed to be far less deserving of the triple-A rating category than others. The key assumption here is that the U.S. is no longer a true triple-A-rated nation. This implies that other nations with similar conditions are also at risk of losing their triple-A rating, and that there are really far fewer than 16 true nations in the triple-A club now. Our review includes updated figures from Standard & Poor’s and Moody’s along with revised statistics from the CIA World Factbook. We’ve sourced also from the Economist Intelligence Unit, Fitch, Egan Jones, and elsewhere.

S&P still has a triple-A rating on Australia, Austria, Canada, Denmark, Finland, France, Germany, Netherlands, Norway, Singapore, Sweden, Switzerland, and the United Kingdom. Other triple-A nations like Guernsey, Isle of Man, Liechtenstein, and Luxembourg we left out due to their small size and dependence upon other nations. Moody’s ratings were also used to make sure that the discrepancies are not overlooked.

Keep in mind that Japan lost its AAA rating in the late 1990s. It was further downgraded earlier this year. It was as recently as 2009 that S&P cut Ireland’s AAA rating. Italy and Spain were both AAA rated in the 1990s, but Spain was actually raised back to AAA before losing it again in 2009.

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Remaining countries with AAA credit ratings - Business - World business - msnbc.com

List of countries with Universal Healthcare
List of Countries with Universal Healthcare « True Cost – Analyzing our economy, government policy, and society through the lens of cost-benefit
 
Feb 2011
40,024
9,769
happyfunville
#3
Correlation does not equal causation. Most countries with AAA ratings are not 14 trillion in debt, which is a far likelier reason for our rating woes.
 
Jun 2006
100,729
11,014
Vancouver
#4
Correlation doesn't indicate causation - but it does preclude causation in the opposite direction.

All AAA redit rated nations have universal health insurance, and each and every one of them is cheaper and provides better access to health services. So while that may not mean that universal health insurance is good economics, it most certainly means that universal health insurance is not BAD economics.
 

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