Just before the collapse of the subprime mortgage market in 2007, the most important credit-rating agencies rated
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Just before the collapse of the subprime mortgage market in 2007, the most important credit-rating agencies rated mortgage-backed securities with Aaa and AAA ratings. Explain how it was possible that a few months into 2008, the same securities had the lowest possible ratings. Should we always trust credit-rating agencies?
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Historically mortgagebacked securities were considered lowrisk asse...View the full answer
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Related Book For
Economics of Money Banking and Financial Markets
ISBN: 978-0134733821
12th edition
Authors: Frederic S. Mishkin
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