A New Approach to Reconstruction of Moody’s Rating System for Countries’ Investment Risk Rating
Journal Title: Journal of Empirical Economics - Year 2015, Vol 4, Issue 3
Abstract
This study examines the relative importance of economic, environmental, educational, and infrastructure factors in determining countries risk rating. In the first step of the analysis, the economic determinants of the country were collected from World Bank (WB) and International Monetary Fund (IMF) databases. Although the country rating is subjective from time to time and it depends on many different factors (economic, environmental, educational, and infrastructure), changes in economic fundamentals are the main aspects which affect in country risk rating. This study does some empirical analysis of importance of economic and political factors and it does not stand for exact solution for classification of countries, rather than the study tries to analyze the relative importance of factors in the determination of country risk. It also provides an approximate rating method, which uses only data available in World Bank and International Monetary Fund and everybody, can evaluate easily. Also all collected data is based on information in year 2010.
Authors and Affiliations
Nima Mirzaei, Béla Vizvári
Keywords
Related Articles
- EP ID EP27405
- DOI -
- Views 325
- Downloads 10
Failure of Structural Adjustment Programmes in Sub-Saharan Africa: Policy Design or Policy Implementation?
World Bank/International Monetary Fund adjustment programmes prescribed for ailing Third World economies have been described as a failure. The aim of the article is to assess if the failure is due to the policies as de...
Economic Growth and Government Size
Identifying the economic growth affecting variables is of great importance for the policy-makers and economists. In this paper, government’s size and government’s quality variables contributions to economic growth of s...
Looking Into The Future: Which Economy Will Be Performing Better Circa 2060, India Or China?
Despite the politicization of Zimbabwe‟s Look East Policy- which apparently has been also adopted by a number of African countries, this policy is bound to bring a lot of economic gains for Zimbabwe and the continent a...
Evaluation of Public Policies in Brazil and Their Relation to Pollution and Poverty
The present article has the objective of analyzing the relationship between the per capita income, the industrial pollution level and the poverty level of the Brazilian states. An adaptation of the model proposed by Gri...
Long Run Relationship and Causality between Education and Economic Growth in Bangladesh
This paper focuses on the long-run relationship and causality between government expenditure in education and economic growth in Bangladesh for the period 1973 to 2009 through the application of Johansen Cointegration...