.... Evidence for a “too-big-to-fail” and a “too-big-to-rescue” effect was also found. Research limitations/implications – The monetary union effect on banks’ credit ratings may be affected by the period under investigation. The ratings refer to August 2011, when the European sovereign debt crisis...

...Finn Marten Körner; Hans-Michael Trautwein Purpose – The purpose of this paper is to test the hypothesis that major credit rating agencies (CRAs) have been inconsistent in assessing the implications of monetary union membership for sovereign risks. It is frequently argued that CRAs have acted...