In Response to Criticism of the Ratings They Assigned Before

question 8

Multiple Choice

In response to criticism of the ratings they assigned before the credit crisis, credit rating agencies now:

• A) a. are paid through fees assessed on the purchasers of bonds.
• B) a. are depending more on sensitivity analysis in which they assess how creditworthiness may change in response to abrupt changes in the economy.
• C) a. are not allowing the employees who promote an agency to influence the ratings that the agency assigns.
• D) a. B and C

---

Definitions:

Psychological Well-Being

An individual's overall mental health, including factors like self-esteem, autonomy, and mastery over the environment.

Rooting Reflex

A reflex in which infants turn their mouths and heads in the direction of a stroking of the cheek or corner of the mouth.

Stimulus

A stimulus is any event or situation that evokes a sensory or behavioral response in an organism.

Cheek

The soft, fleshy part of the face below the eye and between the nose and ear, often associated with expressions of affection.