Which of the following terms best defines the relationship between the level of corruption and economic growth rate in a country?
A. Directly proportional
B. Inversely proportional
C. Independent
D. Positive correlation
E. Zero correlation
B
Economic evidence suggests that high levels of corruption significantly reduce the foreign direct investment, level of international trade, and economic growth rate in a country.
You might also like to view...
Universal Corporation is concerned about their current bad debt ratio of 6%. The CFO believes imposing a more stringent credit policy may reduce sales by 5% and reduce the bad debt ratio to 4%. If the cost of goods sold is 80% of the selling price, determine if the new policy should be undertaken.
A) Undertake; increase of 8.57% in profits B) Undertake; increase of 9.55% in profits C) Do not undertake; decrease of 9.55% in profits D) Do not undertake; decrease of 8.57% in profits
A higher price/earnings ratio signifies a higher return on investment
Indicate whether the statement is true or false