A Primary Function of Futures Markets Is to Allow Investors

question 4

True/False

A primary function of futures markets is to allow investors to transfer risk.

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Definitions:

Natural Rate of Unemployment

The level of unemployment consistent with a stable rate of inflation, caused by the supply and demand for labor adjusting to various market factors.

Actual Rate of Unemployment

The proportion of the labor force that is jobless and actively looking for employment at any given time.

Labor Force

The total number of people available to work, including both the employed and the unemployed individuals actively seeking employment.

Adult Population

The segment of the population that comprises individuals considered legally old enough for adult responsibilities, typically measured from a certain age.