In the Forward Market, Both Parties Are Required to Post

question 53

True/False

In the forward market, both parties are required to post collateral or margin.

---

Definitions:

Modeling

A technique in behavioral psychology where individuals learn through observation and imitation of others.

Classical Conditioning

A learning procedure where two stimuli are constantly paired; initially, the second stimulus elicits a response which eventually is elicited by the first stimulus alone.

Vicarious Reinforcement

A process in behavioral psychology where individuals learn through the consequences of actions observed in others, rather than through direct experience.

Shaping

A method of operant conditioning by which successive approximations towards a desired behavior are reinforced.