Working paper series / Johann-Wolfgang-Goethe-Universität Frankfurt am Main, Fachbereich Wirtschaftswissenschaften : Finance & Accounting
Refine
Year of publication
- 2005 (16) (remove)
Document Type
- Working Paper (16)
Language
- English (16) (remove)
Has Fulltext
- yes (16)
Is part of the Bibliography
- no (16)
Keywords
- Deutschland (3)
- Bank (2)
- Corporate Governance (2)
- DEA (2)
- Europäische Union (2)
- Kapitalmarkt (2)
- Klein- und Mittelbetrieb (2)
- Kredit (2)
- Kreditmarkt (2)
- Kreditrisiko (2)
- Malmquist-Productivity (2)
- bootstrapping (2)
- demutualization (2)
- exchanges (2)
- financial system (2)
- rating agencies (2)
- regulation (2)
- Aktienkurs (1)
- Aktienmarkt (1)
- Asymmetric Information (1)
- Asymmetric information (1)
- Asymmetrische Information (1)
- Bankensystem / Finanzsektor / Branchenentwicklung / Rentabilität / Strukturwandel / Sparkasse / Kreditgenossenschaft / Deutschland / 1970-2003 (1)
- Banking system (1)
- Board Independence (1)
- Business Network (1)
- Börse (1)
- CEO Turnover (1)
- Corporate Governance / Eigentümerstruktur / Universalbank / Finanzmarkt / Mitbestimmung / Deutschland (1)
- Corporate governance (1)
- Credit market competition (1)
- Development finance (1)
- EU (1)
- Efficiency (1)
- Entscheidung bei Unsicherheit (1)
- Entwicklungsfinanzierung (1)
- Financial distress (1)
- Financial integration process (1)
- Finanzierungstheorie (1)
- Finanzintermediation (1)
- Generaldirektor (1)
- Germany (1)
- Geschichte 1999-2003 (1)
- Geschäftsführer (1)
- Granger causality (1)
- Handel (1)
- Incentive Compensation (1)
- Informationsverhalten (1)
- Informeller Finanzsektor (1)
- Insolvenz (1)
- Internationaler Kreditmarkt (1)
- Klein- und Mittelunternehmen (1)
- Konkurs (1)
- Kreditwesen (1)
- Kreditwürdigkeit (1)
- Lieferanten-Kunden-Beziehung (1)
- Liquidity Crisis (1)
- Mikrofinanzierung (1)
- Preisbildung (1)
- Produktivität (1)
- Public Private Partnership (1)
- Public-Private Partnership (1)
- Regulierung (1)
- Relationship Lending (1)
- Relationship lending (1)
- Risikomanagement (1)
- Risk (1)
- Schattenwirtschaft (1)
- Schätzung (1)
- Severance Pay (1)
- Tobit panel data regressions (1)
- Topmanager (1)
- Uncertainty (1)
- Unternehmensmodell (1)
- Versicherungswirtschaft (1)
- Vorstandsvorsitzender (1)
- Welt (1)
- Wertpapierhandel (1)
- ad hoc disclosure rules (1)
- banking system (1)
- board of directors (1)
- central counterparty (1)
- clearing (1)
- cluster analysis (1)
- co-determination (1)
- complementarity (1)
- consistent systems (1)
- coordination problems (1)
- core Europe (1)
- corporategovernance (1)
- country groups (1)
- credit rationing (1)
- credit risk transfer (1)
- delegated monitoring (1)
- derivatives (1)
- effciency (1)
- efficiency (1)
- financial deepening (1)
- german insurance industry (1)
- global game (1)
- information production (1)
- institution building (1)
- intraday stock price adjustments (1)
- leader- follower analysis (1)
- market efficiency (1)
- market participants (1)
- market trends (1)
- networks (1)
- post-trading (1)
- settlement (1)
- software (1)
- straight-through processing (1)
- trading (1)
- validation (1)
Institute
160
In this paper, we propose a model of credit rating agencies using the global games framework to incorporate information and coordination problems. We introduce a refined utility function of a credit rating agency that, additional to reputation maximization, also embeds aspects of competition and feedback effects of the rating on the rated firms. Apart from hinting at explanations for several hypotheses with regard to agencies' optimal rating assessments, our model suggests that the existence of rating agencies may decrease the incidence of multiple equilibria. If investors have discretionary power over the precision of their private information, we can prove that public rating announcements and private information collection are complements rather than substitutes in order to secure uniqueness of equilibrium. In this respect, rating agencies may spark off a virtuous circle that increases the efficiency of the market outcome.