The "What-If" Process of Altering Certain Key Variables to Assess

question 24

Short Answer

The "what-if" process of altering certain key variables to assess the effect on the original outcome is also called a __________________.

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Definitions:

Moral Hazard

The situation where one party is more likely to take risks because the negative consequences of the risk will be borne by another party.

Commodity Futures Market

A financial exchange where people can trade commodity futures contracts, which are agreements to buy or sell a specified amount of a commodity at a set price at a future date.

Flood Control System

Infrastructure designed to manage or prevent the adverse effects of floods.

Annual Premium

The amount of money that must be paid per year to maintain an insurance policy or similar financial products.