Farmers can insure themselves against adverse price swings through the __________ market.
A)bond
B)stock
C)futures
D)food
E)none of the above

Question

Quizplus · Accepted Answer

Farmers can use the futures market to lock in a price for their crop or livestock in advance, protecting themselves against price fluctuations. This allows them to hedge their risks and have more certainty about their income. Bond and stock markets are not directly related to agricultural prices, and the food market is not a financial market where farmers can hedge their price risks.

Farmers Can Insure Themselves Against Adverse Price Swings Through the __________