In "The Big Short," author Michael Lewis discusses the role of rating agencies in the financial crisis, highlighting how they were compensated handsomely by firms like Goldman Sachs for their ratings. Despite the substantial fees received, these agencies rated a significant portion of the new debt created during this period—up to 80 percent—as triple-A, signifying high quality and safety.

This misrepresentation of debt quality contributed to the widespread financial instability, as investors were misled into believing they were purchasing secure investments. The book critiques the system that allowed such conflicts of interest to thrive, ultimately playing a pivotal role in the economic collapse that followed.