Tuesday, October 13, 2015
On Standard and Poor ratings and Voodoo Gahanomics.
Thinking that most people are familiar with the A to F scale from their school days, Jeff Gahan for Mayor of New Albany is bragging about an A+ rating from Standard and Poor. But that's not how Standard and Poor ratings work.
They include both AA and AAA ratings, distinctions that are common for municipalities owing to tax base stability. New Albany could be AA , AA+, or AAA. Other financial institutions place the A+ rating in the medium to upper-medium range. It's just another case of a misleading presentation.
-- text by Jeff Gillenwater; illustrations by JG (bottom) and RB (top)