Question
Which of the following can be used for risk shifting?
ÂSolution
Risk shifting involves changing (“shifting”) the distribution of risky outcomes. It is different from Risk transfer which is passing on (“transferring”) risk to a third party. Both are risk mitigation strategies. Risk shifting is possible through the use of derivatives. For example, financial firms that do not want to bear currency risk on some foreign currency-denominated debt securities can use forward contracts or swaps to reduce or eliminate that risk. This is the way of changing the distribution of possible outcomes which is done through derivatives. Note - In some cases, risk transfer and risk shifting is also used interchangeably.
What is the name of the first agricultural index launched by NITI Aayog on October 31, 2016?
Match List-I with List-II and select the correct answer using the codes given below the lists.
Which soil-forming process involves the removal of silica and concentration of sesquioxides?
Match the following:
What is another term for bench terracing commonly used in hilly agriculture?
Wax layer is present in:
What biological control agent is considered most “useful” in managing a wide range of insect pests effectively in agroecosystems?
Which hormone stimulates glycolysis?
Which of the following antitranspirant forms a thin film on the leaf surface and reduces transpiration?
Which bacterium is commonly used in genetic engineering for gene transfer?
