Encourage issuers to engage in ratings shopping

Assignment Help Financial Management

Reference no: EM131927835

a. Describe the role that Credit Rating Agencies (CRAs) played during the financial crisis.

b. Why does the current system encourage issuers to engage in “ratings shopping”?

c. Propose a solution to fix this part of the financial industry. Discuss benefits and costs of your proposal.

Reference no: EM131927835

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