Matthias Efing, Harald Hau, 18 June 2013

In response to the civil lawsuit filed by the US Department of Justice in February 2013, Standard & Poor's affirms that its ratings were "objective, independent and uninfluenced by conflicts of interest". This column presents empirical evidence opposing this claim. The data suggests a systematic rating bias in favour of the agencies' largest issuer clients.

Otaviano Canuto, Sanket Mohapatra, Dilip Ratha, 03 September 2011

Sovereign ratings are important for countries to access international capital, but even today 58 developing countries are not rated by Standard and Poor’s, Moody’s, or Fitch. This column presents an exercise to predict “shadow” sovereign ratings for these unrated countries. Contrary to popular perception, the unrated countries are not all at the bottom of the rating spectrum.

Charles Calomiris, 22 August 2008

The subprime crisis is the joint product of perverse incentives and historical flukes. This column explains why market actors made unrealistic assumptions about mortgage-backed securities and how various regulatory policies exacerbated the problem. The crisis will necessitate changes in monetary policy, regulation, and the structure of financial intermediation.

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