An Additional Cost of Having a World Reserve Currency Is

question 7

Multiple Choice

An additional cost of having a world reserve currency is:

• A) An ongoing trade deficit
• B) Higher interest rates
• C) Less international trade
• D) Less ability to take out loans

Recognize the regulatory environment and compliance required for different business forms.

Understand the implications of business form selection on liability and tax obligations.

Learn the constraints and flexibilities of franchise agreements, including territorial rights and obligations.

Grasp the role of intellectual property law in franchising.

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Definitions:

Preexisting Duty

A promise to do something that one is already obligated to do. It is not considered valid consideration.

Unforeseen Circumstances

Events or situations that could not have been predicted and often cause a change in plans or necessitate a response.

Illusory Promise

An illusory promise is a statement that resembles a promise but does not actually commit the speaker to any action or obligation, making it unenforceable as a contract.

Preexisting Duty

An obligation that a party is already legally required to perform, which cannot serve as valid consideration for a new contract.