The Most Direct Protection Against the Risk of Weather-Related Financial

question 26

Multiple Choice

The most direct protection against the risk of weather-related financial downturns comes from ____.

• A)linear forecasts
• B)persistence forecasts
• C)the analog method
• D)insurance
• E)futures contracts

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Definitions:

Capacity Utilization Rate

A measure of how well an economy or a firm is using its productive capacity to manufacture goods or services.

Unemployment Rate

A gauge of the share of individuals in the labor pool who are not employed but are actively seeking a job.

Economy Operated

Refers to the manner in which a nation’s economic systems and policies are managed and function to produce goods and services.

Percent Unemployment

The slice of the labor force that remains without work but is actively engaging in job search.