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how does a strong economy influence business?

how does a strong economy influence business?

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Answer #1

A strong economy not only brings new growth opportunities, but also provides strong and robust structural support to the business. It helps businesses to capitalize upon the opportunities, without worrying about the systemic failure of the institutions. It makes a good supply of labors in the labor market as well, so that businesses can fulfil their demand of workers with able candidates. Hence, there is a stability in the growth achieved by the businesses with lesser extent of volatility. It only happens due to the presence of strong economy. So, it influences the business.

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