Professor Elam

Monday Aug 22, 2011

A Vice President at Moody's, the rating service, has issued his own statement. He is saying what we all know, that the rating agency is actually a captive of the very companies they are supposed to rate. 

This is similar to the conflict of interest that accounting firms have, hired by a client to issue an opinion on the firm. 

Read this link, we will discuss the ethical implications in class.