What is the risk treatment?

Economics Risk And Return Questions



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What is the risk treatment?

Risk treatment refers to the process of managing or mitigating risks in order to minimize their potential negative impact on an organization or individual. It involves identifying and assessing risks, developing strategies to address them, and implementing measures to reduce or transfer the risks. Risk treatment can include actions such as risk avoidance, risk reduction, risk sharing, and risk acceptance. The goal of risk treatment is to strike a balance between the potential benefits and costs associated with managing risks.