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1. How could Jim adjust his operations to reduce his economic exposure? What is a possible disadvan- tage of such an adjustment? 2. Offer

1. How could Jim adjust his operations to reduce his economic exposure? What is a possible disadvan- tage of such an adjustment? 2. Offer another solution to hedging the economic exposure in the long run as Jim's business grows. What are the disadvantages of this solution?

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