A Hog Farmer Decides to Sell Hog Futures

question 38

Multiple Choice

A hog farmer decides to sell hog futures.This is an example of __________ to limit its risk.

• A) cross hedging
• B) short hedging
• C) spreading
• D) speculating

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Definitions:

Communist

A political and economic ideology advocating for a classless society, where property and resources are communally owned.

Socialist

Pertaining to a political and economic theory advocating for the means of production, distribution, and exchange to be owned or regulated by the community as a whole.

Political Systems

Political systems refer to the set of formal legal institutions that constitute a government or a state.

Individualistic Systems

Societal frameworks where personal independence and self-reliance are emphasized over collective goals, often leading to a strong sense of competition.