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Question:

During a change of power, the government announces a change in policies and programs which will have a negative impact on the organization. It is considered as an example of a/an:

A Regulatory risk.
explanation

When the government announces a change in programs and policies that may have a negative impact on your company, making investment unattractive or increasing operational costs, you are exposed to regulatory risk. This may involve, among other issues, minimum wage laws, tariffs and trade policies, and tax policy reform.

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