The Difficulties Associated with Private Political Risk Insurance Include All

question 8

Multiple Choice

The difficulties associated with private political risk insurance include all of the following except:

• A) It is difficult to obtain.
• B) It is very costly.
• C) The approval process is slower than with public insurance agencies.
• D) The terms of many private political risk policies are limited to a very short period of time.

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Definitions:

Forecasting Economic Variables

The process of making predictions about future economic activity based on historical and current data, using statistical models and analysis techniques.

Disinflation

Occurs when the rate of inflation declines.

Monetarist View

An economic theory which argues that management of the nation's money supply is the key to controlling inflation and other forms of economic instability.

Economic Stabilization

Efforts or policies aimed at maintaining economic growth, controlling inflation, and reducing unemployment to achieve a stable economy.