MODULE 3 - CASE

Module 3 - Case



Module 3 - Case

Question No. 1:

There's a substantial unexpected increase in inflation.

An increasing trend in inflation with a substantial rate would be is an undiversifiable risk because inflation is not limited to a company or to the industry it is the phenomenon of whole economy of the country and cannot be controlled by a single company or by an industry. Thus the investment in the stocks of natural resources such as timber, precious metals, gas, and oil products should be made as inflation can be diversified partially by doing investment in it. (Kokomo Perspective, ...