The process by which higher credit risk in one country is transmitted to another country is known as

Question

Quizplus · Accepted Answer

Credit contagion refers to the spread of credit risk from one entity to another, and can happen within a country or cross-border. In the context of this question, the spread of higher credit risk in one country to another country is referred to as credit contagion. Choices A and B are not accurate descriptions of this process. Choice D is incorrect as there is an answer that accurately describes the process.

The Process by Which Higher Credit Risk in One Country