Because uncertainty is high in bad times, investors find it harder to assess firm prospects and, hence, should value analyst output more. However, higher uncertainty makes analysts' tasks harder so it is unclear if analyst output is more valuable in bad times. We find that, in bad times, analyst...

Although macroeconomic factors are part of several models for evaluation of credit risk, there is little effort to distinguish between effects of such factors and “intrinsic” factors on changes in credit risk. We argue that lenders, management, courts and traders in distressed securities...

Although macroeconomic factors are part of several models for evaluation of credit risk, there is little effort to distinguish between effects of such factors and “intrinsic” factors on changes in credit risk. We argue that lenders, management, courts and traders in distressed securities...