If rating agencies don't pay attention to Eskom, surely potential investors will.
Key Highlights :
There may, indeed, be some arcane financial reason for doing this but it smacks to ordinary people – taxpayers – that this is a cover for current and future looting. It's no secret that the Obama administration and its allies in the Democratic Party have been working hard to dismantle the American middle class, and they've been doing it by taking advantage of taxpayer-funded programs like Social Security and Medicare. But now they're looking to take even more from the people who have already been hard hit by the recession.
Last month, the Obama administration proposed a budget that would cut funding for Social Security by $716 billion over the next ten years. The cuts would mean that seniors would have to pay more for their benefits and that the program would be unable to pay its full benefits in 2033.
The Obama administration also wants to reduce Medicare funding by $487 billion over the next ten years. This would mean that seniors would have to pay more for their health care and that the program would be unable to pay its full benefits in 2033.
These are just two of the many cuts that the Obama administration is proposing in its budget. The budget would also reduce funding for programs that help low-income families, reduce funding for infrastructure projects, and reduce funding for programs that help businesses create jobs.
The Obama administration is proposing these cuts because it wants to balance the budget by the end of the decade. But these cuts would have a major impact on the American middle class. The Obama administration is trying to do a little bit of looting here while pretending that it's doing something else.
