Unformatted text preview: of the inflation is not the same in all the countries making it difficult to evaluate the foreign firms. Domestic firms can be evaluated and compared with other domestic firms keeping them on a same platform because the inflation level in all the domestic firms would be the same in general. This is not the case with foreign firms. A firm in a foreign country A may face a stronger inflation rate than a firm in another foreign country B facing a comparatively lower inflation rate. As such evaluation poses difficultly....
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This note was uploaded on 02/21/2012 for the course ACT 492 taught by Professor Ngo during the Fall '11 term at Colorado.
- Fall '11