Eddy currents are produced by the varying flux cathode, the iron core of an equipment thus reducing efficiency due to power consumption. It can be reduced by laminating the core by breaking up the path of eddy current or by increasing the resistance of the core Usage of insulated soft iron wire is to reduce hysteresis loss Usage of low resistance wire (thick wire) is to reduce I2R loss Usage of thick wire is to reduce leakage heat loss due to leakage of magnetic flux Thus the correct answer is to use high resistance wire or thin wire