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Multinational Corporations ( MNCs ) control their price risk of foreign exchange, shipping costs, and others by using derivatives strategies. These strategies help MNCs hedge

Multinational Corporations (MNCs) control their price risk of foreign exchange, shipping costs, and others by using derivatives strategies. These strategies help MNCs hedge their risks (reduce risk). Which of the following are risks which CANNOT be hedged using derivatives hedges (check all that apply):
A. Changes in Government Controls such as monetary and fiscal policy.
B. Changes in labor costs.
C. Changes in Government Controls related to trade restrictions such as the US banning US companies from selling semiconductor technologies to China, and banning US companies from buying Russian oil.
D. Changes in the price of energy, e.g. oil, gasoline, diesel, liquefied natural gas.

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