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| Topic: |
Science
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| Number of pages / Number of words: |
3 / 829 |
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It brings financial uncertainty in the business and the investments. The risk factors that can affect an investment are currency exchange rates, default by borrowers, and interest rate fluctuation. The deflation is also a result of the decrease in the employment sector (Figure 1), which lowers the level of demand in the economy...
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Hence, the Telecom economy looks bad and the companies lose their pricing power. The deflation does not allow the industry to grow. Moreover the financial uncertainty turns the industry in unattractive area for investors.
The following figure compares the Real Gross Domestic product (GDP) of the United States in a period five years from 2001- 2005...
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