The US government’s debt has been downgraded. Here’s what to know

By CHRISTOPHER RUGABER
AP Economics Writer

WASHINGTON (AP) — Late Tuesday, Fitch Ratings became the second of the three major credit-rating firms to remove its coveted triple-A assessment of the United States government’s credit worthiness, a move that contributed to sharply lower stock prices in Wednesday trading. Fitch cited the federal government’s rising debt burden and the political difficulties that the U.S. government has had in addressing spending and tax policies as the principal reasons for reducing its rating from AAA to AA+. The downgrade may have little impact on financial markets long-term or on the interest rates the U.S. government will pay.