Solutions
With the reputation of the Big Three coming under fire since the 2008 Financial Crisis, many have questioned their ratings methods. Marc Joffe, a former Senior Director at Moody's and now Principal Consultant at Public Sector Credit Solutions (PSCS), has recently argued that economists and other academic social scientists, via logit and probit econometric models, are better equipped than ratings agencies to assess the default risk of sovereigns and municipalities. To support better ratings methods, PSCS (in partnership with Wikirating) maintains a comprehensive public database of sovereign defaults, revenues, expenditures, debt levels, and debt service costs. PSCS has also developed the Public Sector Credit Framework, an open source budget simulation model that helps analysts assess default probabilities.
Read more about this topic: Sovereign Default
Famous quotes containing the word solutions:
“Science fiction writers foresee the inevitable, and although problems and catastrophes may be inevitable, solutions are not.”
—Isaac Asimov (1920–1992)
“The anorexic prefigures this culture in rather a poetic fashion by trying to keep it at bay. He refuses lack. He says: I lack nothing, therefore I shall not eat. With the overweight person, it is the opposite: he refuses fullness, repletion. He says, I lack everything, so I will eat anything at all. The anorexic staves off lack by emptiness, the overweight person staves off fullness by excess. Both are homeopathic final solutions, solutions by extermination.”
—Jean Baudrillard (b. 1929)
“Those great ideas which come to you in your sleep just before you awake in morning, those solutions to the world’s problems which, in the light of day, turn out to be duds of the puniest order, couldn’t they be put to some use, after all?”
—Robert Benchley (1889–1945)