Steady-state growth in free cash flows could be driven by long-run expectations for growth attributable to:
A) interest rates
B) national exports
C) general economic productivity
D) balance of payments

Question

Quizplus · Accepted Answer

Steady-state growth in free cash flows is usually driven by long-run expectations for growth attributable to general economic productivity, such as improvements in technology or workforce efficiency. Interest rates, national exports, and balance of payments may have short-term effects on certain industries or companies but are unlikely to drive sustained long-term growth in free cash flows.

Steady-State Growth in Free Cash Flows Could Be Driven by Long-Run