The Pension Benefit Guaranty Corp. is understating its financial risks because it has failed to keep its model for forecasting corporate bankruptcies current, according to a report published by the National Bureau of Economic Research and the University of Illinois. “Our in-depth review of the PBGC’s models indicates that they are likely to underestimate how bad things can get when the economy is weak,” said Jeffrey Brown, one of the authors.

Full Story:

Related Summaries