Contingency Means That One Thing Depends on Other Things, and for Organizations

question 84

True/False

Contingency means that one thing depends on other things, and for organizations to be effective, there must be a "goodness of fit" between their structure and the conditions of their external environment.

---

Definitions:

Financial Markets

Banks and other financial institutions that facilitate the flow of funds from savers to borrowers.

Discount Rate

The interest rate set by central banks that they charge commercial banks for loans and advances, influencing monetary conditions and economic indicators like inflation and investment.

Government Securities

Financial instruments issued by a government to borrow money from investors, often with a promise to pay periodic interest and repay the principal at maturity.

Fed Regulations

Fed regulations are rules set by the Federal Reserve, the central bank of the United States, to govern the practices of financial institutions, aiming at ensuring stability and transparency in the financial system.