(Consider This) Which of the following methods is used by farmers to "hedge" against short- run price and output fluctuations?
A. Securing prices for their output in the futures market.
B. Purchasing crop revenue insurance to insure against natural disasters.
C. Leasing land to other farmers in return for stable rent payments.
D. All of these risk-management techniques are used.
Answer: D
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Using the data in the above table, the labor force participation rate is
A) 60.8 percent. B) 56 percent. C) 4.8 percent. D) 61.6 percent. E) 64.4 percent.
The economy recovers quickly from most recessions, but the increase in adverse selection and moral hazard problems in the credit markets caused by ________ led to the severe economic contraction known as The Great Depression
A) debt deflation B) illiquidity C) an improvement in banks' balance sheets D) increases in bond prices