Define Rational Expectations Theory

question 103

Essay

Define rational expectations theory.

---

Definitions:

Cultural Distance

Cultural distance refers to the differences in cultural values, practices, and traditions between two countries or societies, impacting international business operations and interactions.

Cultural Distance

Cultural distance is a concept that measures the difference between two cultures based on certain dimensions, influencing interactions, communications, and relationships.

Negotiations

A process where two or more parties come together to discuss and reach a mutual agreement on a matter.

Tight-loose Cultures

Refer to the degree of rigidity or flexibility in the social norms and behavioral expectations within an organization or society.