Antitrust & Competition Policy Blog

Editor: D. Daniel Sokol
University of Florida
Levin College of Law

A Member of the Law Professor Blogs Network

Tuesday, April 24, 2012

The Credit Rating Agencies: How Did We Get Here? Where Should We Go?

Posted by D. Daniel Sokol

Lawrence White (NYU - Stern School of Business) asks The Credit Rating Agencies: How Did We Get Here? Where Should We Go?

ABSTRACT: The three major credit rating agencies-Moody's, Standard & Poor's ("S&P"), and Fitch-have attracted an increasing amount of media attention over the past five years. They were clearly central players in the housing bubble and collapse of the late 1990s through the mid 2000s and the financial debacle that followed, and they have more recently gained notoriety in downgrading the debt of various European countries-with S&P even downgrading the United States in August 2011.

So, who are these guys? What do they do? Why are they so important? Why did they err so badly with respect to mortgage bonds in the United States in the mid 2000s? In what direction should public policy go? And, since there are only three major rating agencies, is there a role for competition policy?

http://lawprofessors.typepad.com/antitrustprof_blog/2012/04/the-credit-rating-agencies-how-did-we-get-here-where-should-we-go.html

| Permalink

TrackBack URL for this entry:

http://www.typepad.com/services/trackback/6a00d8341bfae553ef0168eaa5b1de970c

Listed below are links to weblogs that reference The Credit Rating Agencies: How Did We Get Here? Where Should We Go?:

Comments

Post a comment