Ireland Loses AAA Rating at S&P on Deficit, Slump

[Purple State]

This was clearly on its way for a while. Ireland has been smashed by the current crisis, as it was basically held up by home prices and investment. It is a stronger Iceland, so it stayed afloat, but just barely.

[Purple State]

This was clearly on its way for a while.

Agree.

It is a stronger Iceland, so it stayed afloat, but just barely.

Disagree. Please explain.

Ireland and Iceland were basically propped up on the same things. They are small, investment oriented, etc. Iceland went bankrupt, Ireland didn't. So I take it as Ireland was in a stronger position than Iceland to weather this kind of storm. Although not by much which is why they are looking at continued credit rating downgrades.