Critiques of credit ratings and the agencies creating them are in our DNA here at Activest. Join Homero, Ellen and John for a semi deep-dive on credit ratings, prompted by the recent Moody’s downgrades of Washington, D.C., Maryland and the United States. Are these downgrades as dramatic as they seem? Are they late to the game and even irrelevant? Moody’s matters because cost of capital is a real concern for governments - but will we see a direct connection between these downgrades and a change in cost of capital? We turn to our core analysis of how true social and community risk is absent from ratings to respond to these questions, and suggest centering the analysis of risk on people harmed by inequality and climate disruption.Recorded May 21, 2025 (37:36)Stories Referenced in our Conversation…Bonds Are Losing Their ‘Shock Absorber’ Status (Investment News, May 20, 2025)Investors Bet On Municipal Bonds Despite Accelerating Climate Concerns (Bond Buyer, Updated May 22, 2025)Moody’s Downgrades the United States (Moody's, May 16, 2025)Joint Statement From Maryland Leadership Responding to Moody’s Downgrade (Maryland Governor's Office, May 14, 2025)Moody’s Downgrades the District of Columbia (Moody's, April 23, 2025)Congressional Republicans Might Set Off the Debt Bomb (Jessica Reidl for the Atlantic, April 24, 2025) Hosted on Acast. See acast.com/privacy for more information.

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