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contingent market (D4, Gl)<br />A market, particularly an insurance market, which transfers risk from those facing it to those who are prepared to undertake it. An example of this is when a ship owner faced with the risk of the loss of a ship can transfer the risk to LLOYD'S insurers. If the insurance market is in equilibrium, the insurance premium should settle at the rate which equates the marginal cost of insurance to the marginal benefit of losing an undesired risk.
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standard deviation (C1)<br />A measure of the dispersion of values of a variable about its ARITHMETIC MEAN that is calculated as the square root of the sum of the differences between each of those values and the arithmetic mean divided by the number of values minus one.<br /><em>See also:</em> mean deviation; variance
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Y= C+I + (X -M)
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