Ask Question
BusinessBusiness
16 March, 05:27

The peripheral country dilemma of having constantly to borrow in order to fund economic development is known as:

+1
Answers (2)
  1. 16 March, 06:55
    0
    debt trap

    Explanation:

    In simple words, debt trap refers to the situation when a company keeps on incurring debt for repaying off the loans taken earlier. It is called trap as the amount of interest on loan keeps on building up making it impossible for the firm to pay it off completely.

    Usually the firms starts getting in debt trap when they lack of funds or due to failure of the specific project for which the loans has been taken specifically. Once the firm gets inside such a situation stepping back becomes nearly impassible leading to complete shut down of the firm.
  2. 16 March, 07:01
    0
    The peripheral country dilemma of having constantly to borrow in order to fund economic development is known as DEBT TRAP

    Explanation:

    Debt traps is a situation in which it is difficult or not possible for a person that borrowed to pay back money that he has borrowed. These traps are usually caused by high interest rates and short terms, and are a hallmark of a predatory lending. Paying back borrowed money is paying back both the principal and the interest.

    A debt trap occurs when a borrower is unable to make payments on the loan principal; instead, they can only afford to make payments on the interest. Because making payments on the interest does not lead to a reduction in the principal, the borrower never gets any closer to paying off the loan itself.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “The peripheral country dilemma of having constantly to borrow in order to fund economic development is known as: ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
The double-entry system requires that each transaction must be recordedA) in at least two different accounts. B) in two sets of books. C) in a journal and in a ledger. D) first as a revenue and then as an expense.
Answers (1)
You might have heard your grandmother say, "when i was your age, candy bars cost a nickel." like candy bars, the price of fast food has increased over time. in 1957, the year burger king introduced its whopper, the price was $0.37.
Answers (1)
Adams Industries holds 55,000 shares of FedEx common stock, which is not a large enough ownership interest to allow Adams to exercise significant influence over FedEx.
Answers (1)
Lisa quit her $20000-per-year job to start her own economics consulting firm. At the end of her first year of operation, her total revenues were $150000. Her total explicit costs were $35000.
Answers (1)
During 2020, Lopez Corporation disposed of Pine Division, a major component of its business. Lopez realized a gain of $3,000,000, net of taxes, on the sale of Pine's assets. Pine's operating losses, net of taxes, were $3,500,000 in 2020.
Answers (1)
New Questions in Business
Five jobs are waiting to be processed. Their processing times and due dates are given below. Using the shortestprocessing time dispatching rule, in which order should the jobs be processed?
Answers (1)
Acme Foods wants to make its chips saltier, but it doesn't want to spend more than it has to on salt. A sample of consumers are asked to compare its current chip (saltiness = 100) with saltier versions and to say whether the new version is saltier.
Answers (1)
Which of the following comparisons best isolates the impact of a change in activity on performance?
Answers (1)
If an investor anticipates an annual rental income from a leased property to be $400,000 dollars, this expected sum has a direct bearing on what the investor will pay for the property. This is an example of
Answers (1)
In comparison to industry averages, Okra Corp. has a low inventory turnover, a high current ratio, and an average quick ratio. Which of the following would be the most reasonable inference about Okra Corp.? A. Its current liabilities are too low. B.
Answers (2)
Home » Business » The peripheral country dilemma of having constantly to borrow in order to fund economic development is known as:
Sign Up Forgot Password?