Multiple choice

Which of the following denotes “De-coupling”?

  1. Indian market may be cut off from global markets so that it may not be affected by global volatility.

  2. To separae the birds affected by bird-flu

  3. Markets that are independent.

  4. None of the above
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A Correct answer
Explanation

De-coupling refers to the phenomenon where a particular market (in this context, the Indian market) becomes less correlated with global markets and is not significantly affected by global volatility or trends. This can occur due to strong domestic factors, policy differences, or structural economic characteristics that insulate the market from global contagion effects.

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