Examlex
Which of the following is an example of systemic risk for a firm?
Natural Rate
The long-term unemployment rate reflecting the number of people who are jobless due to the economic structure, without accelerating inflation.
Time Inconsistency
A situation in which a decision-maker's preferences change over time, such that what is preferred at one point in time is inconsistent with what will be preferred at a future point in time, leading to potentially suboptimal decisions.
Political Business Cycle
A theory that suggests that politicians manipulate the economy (typically through monetary policy) to achieve favorable outcomes (such as lower unemployment or higher growth) before elections to improve their chances of being re-elected.
Problems
Issues or obstacles that arise and need to be dealt with or overcome in various contexts, including economic, social, and personal.
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