Empirically, share prices and bond prices have been shown to react only to a small degree to

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Empirically, share prices and bond prices have been shown to react only to a small degree to credit rating changes, if at all. Why do you think this is?

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Corporate Finance

ISBN: 9780077173630

3rd Edition

Authors: David Hillier, Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan, Jeffrey F. Jaffe

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Question Posted: Feb 22, 2024 03:03 AM

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Empirically, share prices and bond prices have been shown to react only to a small degree to

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There are several reasons why share prices and bond prices may react only to a small degree if at all to credit rating changes Anticipation and Announ...View the full answer

Corporate Finance

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