"Still, the U.S. credit rating is no longer top-rated at any of the three major ratings agencies, which have cited both unsustainable fiscal trends and recurring political gridlock.

These downgrades have had immediate consequences, placing further upward pressure on borrowing costs and raising questions about the long-term global standing of the U.S. dollar as the world's reserve currency.

"Adding trillion after trillion to the debt and budgeting-by-crisis is no way for a great nation like America to run its finances," Peterson said.

"Lawmakers should take advantage of the many responsible reforms available that would put our nation on a stronger path for the future."