Which of the Following Statements Is True About Risk Management

question 246

Multiple Choice

Which of the following statements is true about risk management in market systems versus command systems?

• A) Market systems manage risk better because entrepreneurs taking risks bear the costs of poor decisions, whereas in command systems government decision makers don't bear those costs.
• B) Neither system is better than the other in terms of risk management; both systems are equally susceptible to natural disasters and changes in consumer preferences.
• C) Command systems manage risk better because the government controls most economic activity and can therefore eliminate risk.
• D) Market systems face risk because of the possibility of profits and losses; command systems don't face risk because they are not profit driven.

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Definitions:

Patent Vein

Describes a vein that is open and unobstructed, allowing for the free flow of blood.

Y Tubing

A type of medical tubing that splits into two branches, often used in transfusion and infusion therapies.

Blood Transfusion

The process of transferring blood or blood-based products from one person into the circulatory system of another.

Intravascular Volume

The total volume of blood within the vascular system of the body.