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Economic exposure can best be defined as: Long-term financial risk arising from permanent changes in prices or other economic fundamentals. A plot showing how the

Economic exposure can best be defined as:

Long-term financial risk arising from permanent changes in prices or other economic fundamentals.

A plot showing how the value of the firm is affected by changes in prices or rates.

Short-run financial risk arising from the need to buy or sell at uncertain prices or rates in the near future.

Reducing a firm's exposure to price or rate fluctuations

A financial asset that represents a claim to another financial asset.

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