View
Publication Type
Conference Proceedings
UWI Author(s)
Author, Analytic
Tennant, David
Author Role
n/a
Author Affiliation
n/a
Paper/Section Title
Determinants of Upgrades and Downgrades in Sovereign Debt Ratings
Medium Designator
n/a
Connective Phrase
n/a
Editor/Compiler
n/a
Editor/Compiler Role
n/a
Proceedings Title
Departmental Research Seminar
Date of Meeting
April 11, 2013
Place of Meeting
n/a
Place of Publication
n/a
Publisher Name
n/a
Date of Publication
n/a
Date of Copyright
n/a
Volume ID
n/a
Location in Work
n/a
Extent of Work
n/a
Packaging Method
n/a
Series Editor
n/a
Series Editor Role
n/a
Series Title
n/a
Series Volume ID
n/a
Location/URL
https:; www.google.com.jm/url?sa=t&rct=j&q=&esrc=s&source=web&cd=2&cad=rja&uact=8&ved=0ahUKEwjFluSf2KfJAhWDHT4KHURkBAIQFggjMAE&url=https%3A%2F%2Fumsbe.wufoo.com%2Fcabinet%2F276%2F284%2F53%2Fp31_update.pdf&usg=AFQjCNHRjU0jqQCwTok2MqureYkRl-vhPA&bvm=bv.108194040,d.eWE
ISBN
n/a
Notes
n/a
Abstract
This paper investigates the determinants of changes in Standard and Poor’s (S&P) foreign currency sovereign debt ratings for developed and developing economies. We have used an ordered probit mixed-effects regression technique to show that even when controlling for all the key indicators of a country’s solvency, liquidity, default history and a major credit event (the recent global economic crisis), low and lower middle income countries are less likely to be upgraded than high and upper middle income countries. If in fact there are no unjustifiable biases in assigning rating changes across development levels, then careful and public scrutiny into the hidden model and data used by rating agencies is clearly warranted. The results provide insight as to differences in the factors traditionally considered by S&P as important determinants of rating changes for the respective categories of countries. They also point policymakers in different country contexts in the direction that they should go in order to reap expedited favorable changes in their sovereign debt ratings.....
read more