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Other Things Being Equal, the Benefit-Cost-Risk Trade-Off Is Likely to Be

Question 29

Multiple Choice
Other things being equal, the benefit-cost-risk trade-off is likely to be most favorable in

Other things being equal, the benefit-cost-risk trade-off is likely to be most favorable in


A) politically unstable developing nations that operate with a mixed or command economy.
B) nations where there is a dramatic upsurge in either inflation rates or private-sector debt.
C) politically stable developed and developing nations that have free market systems.
D) developing nations where speculative financial bubbles have led to excess borrowing.

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