The market value of the Blackwell Corporation just declined by 5 percent. Analysts believe this decrease in value was caused by recent legislation passed by Congress. Which type of risk does this illustrate? a. Diversifiable risk
b. Purchasing power risk
c. International risk
d. Poltical risk
e. Exchange rate risk



Option d: Political risk

Explanation:

Political Risk is simply defined as likelihood of disruption of the operations of MNEs by political forces or events. It is termed as action of a government that limits firm value.

Governments intervene in subtler but just as costly ways today leading to:

- Tax and royalty increases

- Partial/Full nationalizations

- Breach of contract and others

being suspected of supplying drugs means you are much more likely to be charged. the amount of drugs found on you, and whether you have a criminal record, will be taken into account when a punishment is being decided.

decisions to prosecute are taken by the public prosecution service. the maximum sentences for intent to supply drugs are:

answer; dogs;