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11 Apr 2018

Sovereign Risk

Finance feed by:

CA Nisha Bagla
B.com (Hons),CA
CA in Practice    •    15 Year 8 Month  experience
A nation is a sovereign entity. Any risk arising on chances of a government failing to make debt repayments or not honouring a loan agreement is a sovereign risk.

Such practices can be resorted to by a government in times of economic or political uncertainty or even to portray an assertive stance misusing its independence. A governme.... more

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11 Apr 2018

Recession

Finance feed by:

RK & Associates

CA Firm    •    100% (2 votes)   •    15 Year 9 Month  experience
Recession is a slowdown or a massive contraction in economic activities. A significant fall in spending generally leads to a recession.

Such a slowdown in economic activities may last for some quarters thereby completely hampering the growth of an economy. In such a situation, economic indicators such as GDP, corporate profits, emplo.... more

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9 Apr 2018

Privatization

Finance feed by:

CA Amarendra Agarwal
B.com (Hons),CA
CA in Practice    •    26 Year 7 Month  experience
The transfer of ownership, property or business from the government to the private sector is termed privatization. The government ceases to be the owner of the entity or business.

Privatization is considered to bring more efficiency and objectivity to the company, something that a government company is not concerned about. India went.... more

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9 Apr 2018

Depreciation

Finance feed by:

CA Vikas Agrawal
M.com,CA
CA in Practice    •    17 Year 2 Month  experience
The monetary value of an asset decreases over time due to use, wear and tear or obsolescence. This decrease is measured as depreciation.

Depreciation, i.e. a decrease in an asset's value, may be caused by a number of other factors as well such as unfavorable market conditions, etc. Machinery, equipment, currency are some example.... more

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7 Apr 2018

Deflation

Finance feed by:

CA Akash Agarwal
B.com (Hons),CA
CA in Practice    •    100% (2 votes)   •    14 Year 4 Month  experience
When the overall price level decreases so that inflation rate becomes negative, it is called deflation. It is the opposite of the often-encountered inflation.

A reduction in money supply or credit availability is the reason for deflation in most cases. Reduced investment spending by government or individuals may also lead to this sit.... more

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