PT  - JOURNAL ARTICLE
AU  - John Ammer
AU  - Frank Packer
TI  - How Consistent are Credit Ratings? A Geographic and Sectoral Analysis of Default Risk
AID  - 10.3905/jfi.2000.319273
DP  - 2000 Dec 31
TA  - The Journal of Fixed Income
PG  - 24--30
VI  - 10
IP  - 3
4099  - https://pm-research.com/content/10/3/24.short
4100  - https://pm-research.com/content/10/3/24.full
AB  - The authors examine differences in default rates by sector and obligor domicile. They find evidence that credit ratings have been imperfectly calibrated across issuer sectors in the past. Controlling for year of issue and rating, default rates appear to be higher for U.S. financial firms than U.S. industrial firms. Sectoral differences in recovery rates do not offset the higher default rates. By contrast, the authors do not find significant differences in default rates between U.S. and foreign firms.