A Hedge Is

question 237

Multiple Choice

A hedge is

• A) a financial strategy that reduces the change of suffering losses arising from foreign exchange risk.
• B) an exchange rate arrangement in which a country pegs the value of its currency to the exchange value.
• C) the possibility that changes in the value of a nation's currency will result in variations in the market value of assets.
• D) active management of a floating exchange rate on the part of a country's government.

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Definitions:

Cognitive Psychology

A branch of psychology that studies mental processes including how people think, perceive, remember, and learn.

Modern Schools

Refers to contemporary educational institutions or philosophies that emphasize current methodologies, technologies, and approaches to learning.

Oldest

Referring to someone or something with the greatest age in a group; having lived or existed for the longest time.

Behaviorism

A theory in psychology that emphasizes the study of observable behaviors and the effects of learning and reinforcement.