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Chapter 29 - Chapter 29: The Risk Premium

[CEO's Cheat Sheet]

Risk Premium: The return in excess of the risk-free rate of return an investment is expected to yield. In a black market, it is the massive price markup applied to cover the danger of execution.

Black Market: Economic activity that takes place outside government-sanctioned channels, usually involving illegal goods or avoiding price controls and taxes.

Information Asymmetry: A transaction where one party has more or better information than the other (Stephanie controlling the underground network while the King is blind).

"Boss Lady, you can't be serious!" Maevia gasped, slamming both her hands on the teak wood desk. "The King decreed that anyone possessing our goods will be burned at the stake! If we send the Griffins now, the nobles won't just lock their doors—they'll report us to the Inquisition to prove their loyalty!"

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