You work for a Chinese domestic airline called JetSafe In April 2019 JetSafe generated revenues of CNY 100 million i.e. 500 flights producing (on average) CNY 200,000 each. Revenues are partly determined by demand from international visitors to China who is sensitive to currency movements Assume that the percentage change in flights in the current month has a delta of 0.8 with respect to returns in the USD/CNY exchange rate in the previous month. For exam
You work for a Chinese domestic airline called JetSafe In April 2019 JetSafe generated revenues of CNY 100 million i.e. 500 flights producing (on average) CNY 200,000 each. Revenues are partly determined by demand from international visitors to China who is sensitive to currency movements Assume that the percentage change in flights in the current … Read more