When global capital markets collectively react to international events like Enron's collapse, it is common to find

Question

Quizplus · Accepted Answer

Enron's collapse resulted in a loss of trust and confidence in the corporate sector, leading to a reduction in capital available to companies with investment grade credit ratings as investors became more risk-averse. This was reflected in higher borrowing costs and tighter credit standards, impacting the ability of companies to raise capital.

When Global Capital Markets Collectively React to International Events Like