Why Are Some Risks Diversifiable and Some Non-Diversifiable? Give an Example

question 398

Essay

Why are some risks diversifiable and some non-diversifiable? Give an example of each.

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Definitions:

Atlantic Africa

The coastal regions of Africa that were involved in the Atlantic Slave Trade, primarily West Africa, from where millions of Africans were forcibly transported to the Americas.

Ndongo

A historical African kingdom located in what is now Angola, known for its resistance against Portuguese colonization in the 16th century.

Portuguese Forces

The military organizations of Portugal, including the Army, Navy, and Air Force, responsible for the defense and security of the country.

Battalion

A military unit consisting of several companies or batteries and typically commanded by a lieutenant colonel.