A Sound Principle to Follow in Demand Forecasting Is To

question 48

Multiple Choice

A sound principle to follow in demand forecasting is to:

• A)Try to use more than one forecasting technique in order to check one against the other.
• B)Develop minimum and maximum estimates to get a range of possible market variation.
• C)Only use methods which can be statistically validated.
• D)All of these are correct.
• E)Only two of A-B-C are correct.

Understand the basic principles of insurance and risk management.

Comprehend the concept of moral hazard and how it impacts market efficiency.

Grasp the mechanism of adverse selection and its effects on markets.

Analyze the role of information asymmetry in economic behaviors and market outcomes.