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PLEASE NO NEED FOR ANY EXPLANATIONS . PLEASE ONLY NEED THE ANSWER A large government deficit relative to GDP, a high rate of money expansion
PLEASE NO NEED FOR ANY EXPLANATIONS. PLEASE ONLY NEED THE ANSWER
A large government deficit relative to GDP, a high rate of money expansion accompanied by fixed exchange rates, along with substantial government expenditures are some of the common characteristics of risk. a) Exchange rate b) Interest rate c) Country d) Investment Question 2 (1 point) To halt capital flight, which one of the following would NOT be a constructive measure governments may take? a) Cutting budget deficits Ob) Impose comprehensive capital controls c) Sell off state-owned enterprises d) Allowing for freer trade Question 3 (1 point) When investing in a natural resource project, a mining firm would NOT add value to the project by a) Taking out political risk insurance from the home government b) Using foreign financing c) Selling copper in advance to customers d) Using local financing Question 4 (1 point) Frequently used indicators of political risk include economic factors but NOT a) Inflation b) Balance-of-payment deficits c) Balance-of-payment surpluses d) Health care reform Question 5 (1 point) American terms refers to the a) Number of U.S. dollars per unit of foreign currency b) Number of foreign-currency units per U.S. dollar c) Quotation system found in the United States d) Bid-ask spread on the U.S. dollar Question 6 (1 point) The risk that a central bank will not make the necessary transfer of foreign currency to complete a currency settlement is known as risk. a) Exchange rate b) Herstatt c) Interest-rate d) SettlementStep by Step Solution
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