International Lenders Want to Know the Likelihood That a Nation

question 87

Multiple Choice

International lenders want to know the likelihood that a nation will repay its debt. Therefore, they rely on:

• A) collateral.
• B) international ratings of country risk.
• C) the faith and credit of the sovereign nation.
• D) advice from the International Monetary Fund (IMF).

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Definitions:

Conformity

Adjusting one's behavior or thinking to match those of other people or a group standard.

Asian Countries

Nations located on the continent of Asia, including, but not limited to, China, India, Japan, and South Korea.

United States

A country in North America consisting of 50 states and a federal district, known for its significant cultural and economic influence globally.

Group Size

A factor that affects the dynamics and outcomes of social interactions, influencing behavior, communication, and cohesion within groups.