Correct option is A
The Correct Answer is: (A) Speculative middlemen
Explanation:
Speculative middlemen are traders who purchase goods outright with the intention of profiting from future price changes. They assume full ownership and risk of the commodities they buy.
Speculative middlemen are traders who purchase goods outright with the intention of profiting from future price changes. They assume full ownership and risk of the commodities they buy.
Their main goal is to buy low and sell high based on anticipated market trends, rather than providing services like transporting, processing, or brokering goods.
Information Booster:
They play a major role in futures markets and spot markets by absorbing market risks.
Their presence can sometimes benefit producers by providing immediate liquidity.
Additional Information:
Commission Agent: Acts as a middleman who sells goods on behalf of the seller and earns a commission without taking ownership.
Brokers: Facilitate transactions between buyers and sellers for a fee or commission; they never take ownership of goods.
Processors: Purchase raw agricultural commodities, but their main aim is to process them into value-added products.
English
30 Questions
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