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Risk spreading in microeconomics ​

User Plato
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Answer:

Microeconomics falls within the larger social science of economics. Microeconomics simply examines the role of things such as households and neighborhoods in the larger economy.

Step-by-step explanation:

Risk spreading in economics is simply taking a large risk and spreading it so that if things go badly each person or entity involved receives a smaller negative impact. For example, instead of two people putting $500 into a $1,000 investment, they may decide to have four people invested at $250 to reduce loss if that $1,000 is lost.

User Owen Hartnett
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