In recent years, "country risk analysis" has become an important part of international business. What do we mean by "country risk"? Briefly explain the factors that are involved in a country risk analysis
What will be an ideal response?
The risk of non-payment due to political and economic factors existing in a country. Factors would include a list of economic and political variables that could affect repayment.
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The profit maximizing rule P = MC applies to:
A. both perfectly competitive firms and imperfectly competitive firms. B. all firms. C. perfectly competitive firms only. D. monopolists only.
Starting from long-run equilibrium, a large tax cut will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.
A. expansionary; higher; higher B. expansionary; higher; potential C. recessionary; higher; potential D. recessionary; lower; lower
Between 1900 and 2007, the ratio of actual to natural real GDP hit its low point in
A) 1933. B) 1904. C) 1944. D) 1982.
Which of the following is a real quantity?
A. The cost of a new car B. The current price of a barrel of oil C. The number of tons of steel produced in 2005 D. The current wages paid to factory workers