Which of the Following Is Not a Systematic Risk

question 91

Multiple Choice

Which of the following is not a systematic risk?

• A) The risk that oil prices rise, increasing production costs
• B) The risk that the Federal Reserve raises interest rates
• C) The risk that the economy slows, reducing demand for your firm's products
• D) The risk that your new product will not receive regulatory approval

---

Definitions:

Fixed Resource

A resource or asset in production whose quantity cannot easily be increased or decreased in the short term.

Short Run

in economics, refers to a period during which at least one input, such as plant size, is fixed and cannot be changed.

Long Run

A period of time in economics where all factors of production and costs are variable, allowing for complete adjustment to changes in market conditions.

Fixed Resource

An asset or input whose quantity cannot be altered in the short run for the production of goods and services.