When the Real Cost of Hedging Is Positive, This Implies

question 75

True/False

When the real cost of hedging is positive, this implies that hedging was more favorable than not hedging.

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Definitions:

Expectancy

The belief or anticipation that one's effort will result in achieving desired performance goals.

Instrumentality

The perceived likelihood that a certain level of performance will lead to achieving a desired outcome or reward.

Valence

the intrinsic attractiveness or aversiveness of an event, object, or situation, often influencing individuals' motivation.

Equity Theory

A theory of motivation that suggests individuals assess their own input-to-outcome ratios in comparison to others as a measure of fairness in relationships or work situations.