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Select the primary type of investment risk that corresponds to each of the given descriptions. (Hint: These are not necessarily complete descriptions, but there is
Select the primary type of investment risk that corresponds to each of the given descriptions. (Hint: These are not necessarily complete descriptions, but there is only one possible answer for each description.) Description Primary Risk Prior to 2008-2009, the shoe company Runner's High had been growing at a steady pace, expanding its product line and entering markets in new regions. When the recession hit, however, inventories piled up as sales declined, such that the company was unable to make payments to some of its suppliers. Government securities guarantee fixed payments and set intervals. If the demand for money declines, however, the value of these securities declines as well. Real estate can be a valuable investment in times of price inflation, the higher the price level, the greater the value of the property. If the general price level declines, however, these investments can lose significant value
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