Ratings agencies are said to have been "bribed" by their clients to issue high ratings on questionable securities leading up to the financial crises of 2008. Describe how this "bribe" worked (i.e. how were/are the ratings agencies incented to give high ratings on questionable securities?

Answer rating: 100% (QA)

The term bribe in the context of ratings agencies issuing high ratings on questionable securities refers to a conflict of interest that existed within ... View the full answer