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#1 answer choices: speculation; hedging #2 answer choices: long hedge; short hedge #3 answer choices: decreased; increased 7. Using derivatives to reduce risks is using
#1 answer choices: speculation; hedging
#2 answer choices: long hedge; short hedge
#3 answer choices: decreased; increased
7. Using derivatives to reduce risks is using transactions to lower risk. When dealing with futures, futures contracts are purchased in anticipation of price increases. In a The development of standardized contracts has led to a secondary market for swaps, which has liquidity and efficiency of the swaps market. Aa Aa theStep by Step Solution
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