Business, 19.03.2020 21:42 queenpaige2015
Answer the questions based on information in the Washington Post article Oil Prices Have Nosedived. Why Aren't Airfares Doing the Same? The term fuel hedging refers to adjusting in‑flight procedures to reduce fuel consumption. signing contracts to pay the same price for fuel for a certain period of time. continually upgrading the airline's fleet to the most efficient planes available. buying stockpiles of fuel when the price is low. Why could fuel hedging make airlines unwilling to lower ticket prices when fuel prices fall? The short term fluctuations in jet fuel prices will not actually decrease airlines' operating costs. Changing the way pilots fly the plane may save fuel, but there are trade‑offs that increase costs elsewhere. The airlines will take advantage of lower market prices to stockpile even more fuel. Fuel savings are used to finance the purchase of new, more efficient planes.
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Answer the questions based on information in the Washington Post article Oil Prices Have Nosedived....
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