The analysis of interrater agreement of credit rating agencies using weighted kappa coefficient

Weighted kappa coefficient is a version of kappa coefficient which measures the interrater agreement between raters assessing independently corresponding cases. In this study, statistical methods of kappa and weighted kappa coefficient were examined in detail. Furthermore, in the case of using linear weights an estimate of weighted kappa coefficient was given. Additionally, the assessment of leading credit rating agencies of the area was made by using weighted kappa coefficient across the data of banks that they rated.