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Identify the two risks regarded as Economic Risks |
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Answer» 1. Tax Structure Risk – Any change in the tax structure by the government creates risk. Rebate in tax reduces the amount of risk and increase in tax increases the risk. 2. Monetary Policy Related Risk – Monetary Policy aims at controlling the amount of money and credit as well as the banking activities of a country. This policy can have both negative and positive impact on business risks. |
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