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Explain Why,if Businesses Are Interlinked,the Coordination Costs Are a Concern

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Explain why,if businesses are interlinked,the coordination costs are a concern.


Definitions:

Nominal Rate

The stated interest rate of a financial instrument, not adjusted for inflation or other factors that affect its true cost or yield.

Inflation Rate

The rate at which the general level of prices for goods and services is rising, thus eroding purchasing power.

Standard Deviation

A measure of the dispersion or variability in a set of values, often used to quantify the risk of investment returns.

Volatility Level

A statistical measure of the dispersion of returns for a given security or market index, often associated with the degree of risk.

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