Which of the Following Is NOT One of the Contributing

question 81

Multiple Choice

Which of the following is NOT one of the contributing factors impacting Canada's economic development

• A) National and provincial debt levels are within acceptable limits
• B) Required business and economic management systems are in place
• C) Political system is unstable
• D) Economy contains the essential factors of production
• E) Sufficient levels of investment

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Definitions:

Long-Term Interest Rates

Interest rates applied to loans or financial assets that are due for repayment in a period longer than one year.

Risk Premiums

The additional return demanded by investors for taking on higher risk, over and above the risk-free rate of return.

Real Risk-Free Rate

The interest rate on a risk-free asset, after adjusting for inflation, indicating the true return on a risk-free investment.

Inflationary Expectations

Anticipations of future inflation that can influence economic behaviors in the present.