On a few occasions I have mentioned Bloomberg’s comment that in order for America to avert a downgrade, which S&P has already acted on due to incompetence in Washington, measures need to be taken that would test the bonds “social cohesion.”
Achieving the fiscal consolidation necessary to avert a downgrade will test “social cohesion” and may involve rewriting the “social contract” between governments and their people. People have to decide what level of pain they are willing to accept to have a healthy economy.
Perhaps this is what Bloomberg was referring to:
Michael Moore, a capitalist that spends his wealth to slander capitalism: There will be riots in the street soon.
Click here for examples of the types of protests and riots that Lerner and Moore would like to see in America.