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A) The following table form shows equity risk premiums in different countries in 2012. What is risk premium and what countries were relatively safe to

A) The following table form shows equity risk premiums in different countries in 2012. What is risk premium and what countries were relatively safe to invest in? Explain.

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B) What has happened to the risk premium of the country Belize in the past 10 years? What has happened in that country to create the difference (or not)?

Please help explain what I'm supposed to be looking at, I am very confused. Thank you.

Country Abu Dhabi Albania Algeria Andorra (Principality of) Angola Anguilla Antigua & Barbuda Argentina Armenia Aruba Australia Austria Azerbaijan Bahamas Bahrain Bangladesh Barbados Belarus Belgium Belize Benin Bermuda Bolivia Bosnia and Herzegovina Botswana Brazil British Virgin Islands Brunei Bulgaria Burkina Faso Cambodia Moody's rating Aa2 B1 NR Baa2 B3 NR NR Ca Ba3 Baa2 Aaa Aal Ba2 Ba3 B2 Ba3 Caal B3 Aa3 Caa3 B1 A2 B2 B3 A3 Ba2 NR NR Baal B2 B2 Adj. Default Spread 0.42% 3.83% 5.53% 1.62% 5.53% 5.88% 5.88% 10.21% 3.06% 1.62% 0.00% 0.34% 2.56% 3.06% 4.68% 3.06% 6.38% 5.53% 0.51% 8.51% 3.83% 0.72% 4.68% 5.53% 1.02% 2.56% 5.88% 0.72% 1.36% 4.68% 4.68% Country Risk Premium 0.49% 4.45% 6.43% 1.88% 6.43% 6.83% 6.83% 11.87% 3.56% 1.88% 0.00% 0.39% 2.97% 3.56% 5.44% 3.56% 7.41% 6.43% 0.60% 9.89% 4.45% 0.84% 5.44% 6.43% 1.19% 2.97% 6.83% 0.84% 1.58% 5.44% 5.44% Equity Risk Premium 4.73% 8.69% 10.67% 6.12% 10.67% 11.07% 11.07% 16.11% 7.80% 6.12% 4.24% 4.63% 7.21% 7.80% 9.68% 7.80% 11.65% 10.67% 4.84% 14.13% 8.69% 5.08% 9.68% 10.67% 5.43% 7.21% 11.07% 5.08% 5.82% 9.68% 9.68% Country Risk Premium 0.49% 4.45% 6.43% 1.88% 6.43% 6.83% 6.83% 11.87% 3.56% 1.88% 0.00% 0.39% 2.97% 3.56% 5.44% 3.56% 7.41% 6.43% 0.60% 9.89% 4.45% 0.84% 5.44% 6.43% 1.19% 2.97% 6.83% 0.84% 1.58% 5.44% 5.44%

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