Blackstone CEO: ‘Regrettably’ the Numbers Justify Fitch’s U.S. Downgrade

EXCERPT:

SCHWARZMAN: "Well, nobody expected it. That’s the first. Secondly, the numbers justify it, regrettably. You know, we've had an explosion of debt since the global financial crisis and we don’t appear to have a lot of discipline going forward. We’re running huge deficits now. So on the numbers, you can understand why they did it. On the other hand, as Jamie said — because Jamie is always opinionated, I must say — the U.S. is the U.S. We are the reserve currency. We do defend a large part of the world, including people who have AAAs. And when there’s a crisis in the world, they buy our securities. Now, that doesn’t last forever if you don’t keep some discipline."