What Do Credit-Rating Agencies Do and Why Is This Work

question 52

Essay

What do credit-rating agencies do and why is this work important?

---

Definitions:

Mutual Mistake

A situation where all parties involved in a contract have a shared and incorrect belief about a fundamental fact affecting the agreement.

Unchanged Terms

Conditions or agreements that remain the same and are not altered over time or through negotiations.

Misrepresentation

An untrue assertion of reality presented by one individual to another, resulting in the latter being persuaded to enter into a contract.

Fraud

The intentional deception or misrepresentation made by a person or entity to gain an unfair advantage or to harm another party's interests.