A type of risk faced by businesses that decisions made by the government,events,or conditions will significantly affect the profitability of a business is known as ________.

Question

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Political risk refers to the risk associated with changes in government policies or regulations, political instability, or other political factors that can negatively impact a business's financial performance or viability. This risk can arise from actions taken by governments, such as changes in taxation, trade policies, or regulations, and can vary depending on the country and political climate. Volatility risk and systemic risk refer to broader market risks, while credit risk pertains to the risk of default on loans or other financial obligations.

A Type of Risk Faced by Businesses That Decisions Made