The quantitative approach evaluates a country's economic risk by assessing the competence of its leaders and analyzing the types of policies they are likely to implement.

Question

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The quantitative approach to evaluating a country's economic risk typically involves analyzing numerical data such as GDP growth rates, inflation rates, and balance of payments, rather than assessing the competence of its leaders and their policy inclinations, which is more qualitative in nature.

The Quantitative Approach Evaluates a Country's Economic Risk by Assessing