Welcome to ExamTopics
ExamTopics Logo
- Expert Verified, Online, Free.
exam questions

Exam SCR All Questions

View all questions & answers for the SCR exam

Exam SCR topic 1 question 50 discussion

Actual exam question from GARP's SCR
Question #: 50
Topic #: 1
[All SCR Questions]

An alliance of electricity power producers examines a proposed cap-and-trade regulation that would affect most members. The alliance lobbies lawmakers to strengthen banking and borrowing provisions in the proposed regulation, allowing increased flexibility for the sector to comply with emissions limits.
What component of climate risk is the alliance directly attempting to influence?

  • A. Exposure
  • B. Hazards
  • C. Vulnerability
  • D. Drivers
Show Suggested Answer Hide Answer
Suggested Answer: A 🗳️

Comments

Chosen Answer:
This is a voting comment (?) , you can switch to a simple comment.
Switch to a voting comment New
Anil_SUPER_STAR
1 year, 1 month ago
D: Drivers A lot of the climate risk DRIVERS that can lead to increased credit risk at an individual firm can affect entire sectors. In sectors such as utilities (for those still reliant on fossil power plants) or oil & gas, sector-wide asset stranding is expected to occur or has already occurred, which increases credit risk.
upvoted 2 times
Anil_SUPER_STAR
1 year, 1 month ago
GARP SCR 2003 Question 42: A company will have little impact on drivers (e.g. policies); further, drivers are related to transition risk. (p. 52-53)
upvoted 1 times
...
...
kavvv
1 year, 2 months ago
Selected Answer: C
Vulnerability is linked to resilience, flexibility and adaptation. I reckon lobbying would reduce it's vulnerability to asset stranding
upvoted 2 times
...
Community vote distribution
A (35%)
C (25%)
B (20%)
Other
Most Voted
A voting comment increases the vote count for the chosen answer by one.

Upvoting a comment with a selected answer will also increase the vote count towards that answer by one. So if you see a comment that you already agree with, you can upvote it instead of posting a new comment.

SaveCancel
Loading ...