What Weakness in the Economic Structures of Asian Countries Contributed

question 17

Multiple Choice

What weakness in the economic structures of Asian countries contributed to the severe financial crisis that Asian economies experienced in 1997?

• A) Productivity: It increased rapidly and the countries were victims of their own success.
• B) Banking regulation: Banks were excessively regulated, which reduced profits.
• C) Legal Framework: The system dealt unsuccessfully with companies in financial trouble.
• D) Natural Resources: Countries' lack of natural resources and failure to explore developing industries accumulated and led to the crisis.
• E) High Taxes: High rates of taxation resulted in a reliance on imports.

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Definitions:

General Journal Entry

A record in accounting that notes the debit and credit transactions affecting financial statements.

Cash Register

A machine used in retail for calculating and recording sales transactions and storing money.

Cash Sales

Cash sales refer to transactions where payment is made in cash at the time of sale, without deferral.

Petty Cash Account

A small amount of cash kept on hand for minor or incidental expenses, managed through a specified fund.