To the extent that the undervaluation of the riskiness of mortgage-backed securities contributed to the U.S. financial crisis of 2008-2009, blame for this mistake lies with:
A)mortgage brokers.
B)investment banks.
C)rating agencies.
D)government policymakers.

Question

Quizplus · Accepted Answer

Rating agencies were responsible for assessing the risk of mortgage-backed securities and often gave them high ratings, which contributed to their undervaluation and the subsequent financial crisis.

To the Extent That the Undervaluation of the Riskiness of Mortgage-Backed