A Comparison of Romanian Economy’s Macro Indicators with Other Countries That Have the Same Credit Score
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Tarih
Mayıs 2020
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info:eu-repo/semantics/openAccess
Özet
Credit Rating Agencies have become active promoter of neo-liberal policies since 1980s, and a
strong credit rating plays an important role in determining the cost of borrowing. Although the transparency of
credit rating agencies is discussed, the credit ratings given by these institutions shed light on the economies of
the countries. These credit scores can be affected not only from economic factors, but also social and politic
factors of a country. Romania has been given a credit score since 1996. According to 2018 ratings, Romania
has been placed in lower medium grade countries category. This paper compares the macroeconomic
indicators of countries in the lower medium grade category with Romania. This study also aims to determine
whether the credit rating agencies consider the economic factors of a country objectively or act politically
when they give a credit score. The results showed that Romania had a good performance at Total Debt/GDP
ratio and relatively at interest rate, unemployment rate and real GDP growth rate, while it showed a bad
performance at budget balance and inflation rate. According to the results, Romania had not the best or worst
macroeconomic indicators in its category so it could be interpreted as credit rating agencies acted objectively
by assessing Romania’s macroeconomic indicators and placed a deserved investible category
Açıklama
Anahtar Kelimeler
credit rating, credit rating agencies, Romanian economy, lower medium grade, macroeconomic indicators, political economy
Kaynak
WoS Q Değeri
Scopus Q Değeri
Cilt
8
Sayı
1
