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Explain why there was a widespread adoption of neoclassical and neoliberal policies across the global economy from the mid 1970s onwards. What are seen as the main weaknesses of this approach to economic policy?
Corporate Tax Rate
Corporate tax rate is the percentage of a corporation's profits that is paid to the government as tax.
Debt Ratio
The portion of assets financed by debt, showing the extent to which a company relies on borrowed funds for its operations.
MM Model
Refers to the Modigliani-Miller theorem, a foundational concept in corporate finance that states that under certain market conditions, the value of a firm is unaffected by how it is financed.
Arbitrage
The simultaneous buying and selling of the same commodity or security in two different markets at different prices, thus pocketing a risk-free return.
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