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Why Do Firms Rely Heavily on Internal Funds

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Why do firms rely heavily on internal funds?


Definitions:

Anticompetitive Export Subsidies

Financial support from a government to domestic businesses that unfairly disadvantages competitors in international markets.

Tariffs

Taxes imposed on imported goods to increase their price and protect domestic industries.

Fair Market Value

The price that a property would sell for on the open market, between a willing buyer and a willing seller, each with reasonable knowledge of the pertinent facts.

Protectionism

A government policy aimed at restricting international trade to protect domestic industries from foreign competition by imposing tariffs or quotas on imports.

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