Which of the Following Is a Method of Hedging

question 12

Multiple Choice

Which of the following is a method of hedging?

• A)home country debt financing
• B)localization of the operation
• C)political risk insurance
• D)maintaining control over technology

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Definitions:

Decrease in Demand

A reduction in consumers' willingness or ability to buy a product at any given price.

Quantity Demanded

The total amount of a good or service that consumers are willing and able to purchase at a specific price level in a given period.

Market Quantity Demanded

Market quantity demanded is the total amount of a good or service that consumers are willing and able to purchase at a given price over a specific period.

Chocolate-Covered Peanuts

A confection made by coating peanuts in chocolate, combining the crunchiness of peanuts with the sweetness of chocolate.