There's that "probably better" part of the debate. The fact that what happened, happened, though, is just further evidence of the fact that third party ratings

There's that "probably better" part of the debate. The fact that what happened, happened, though, is just further evidence of the fact that third party ratings agencies exist. Frankly, I do think they can be better than government alternatives, but I acknowledge it's open for debate, rather than the simple fact that they actually exist and operate. Keep in mind the government alternative in the scenario you're talking about is the SEC, and perhaps Fannie Mae and Freddie Mac who were actually involved in the disaster and several narratives exist in which they directly caused the disaster. The 2008 GFC as evidence of market regulation being essential is no knock-out punch, in fact it makes a pretty good point in a set of arguments as to why the inverse is true. Too big to fail, the government and fed response to the crisis, the government regulations which contributed to the fiasco in the first place, and the half assed regulation that served neither a free market nor a centrally planned economy that has been par for the course both before, during and after the crisis are good cases in point.