There are two reasons for this.
1. To discourage the sales of certain products
For example, the government impose a really high tax for cigarettes and gasoline. Both of these products tend to create damages to the environment and the health of the people who use them. Because of this, the government impose a high taxes in order to make the price become more expensive
2, To increase government budget.
The taxes that citizens pay to the government would be allocated to the budget that the government can use to fund their programs (such as infrastructure building, grants, health benefits, military , etc).
They thought the government would get like Britian and deny them of their rights
Answer:
c. The maturity risk premium is zero.
Explanation:
Pure expectation theory states that the forward rate will represent expected future rate. Term structure is said to be a reflection of what the market expects future short term rates to be.
As future rates are expected to be the same as spot rates for that date, the theory is only applicable when there is no risk premium. That is the maturity risk premium is zero.
Answer: local communities; task
Explanation:
Local communities are people that surrounds the area where the business operates and looking at the above text it is very likely that this community uses this body of water that they now feel is being contaminated by the ChemTech company.
Usually when local communities are not happy about the way the company operates around the area where they live they would raise their concern by organising a protest such as the group above however this would disrupt the normal operation of that company which has an effect on them achieving their profitable days because they would have to stop some functions during these days.
This effect is called task environment which refers to those outside factors that will affect the operation of the company and their aim to achieve their business goal and some other organizations that work with the company may be task environment such as environmental organisation and suppliers.
