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9.6 – Discussion

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Should firms hedge? A number of firms practice hedging and use derivatives to manage risk and change risk exposure. Some people argue firms should stick with their core business (i.e airlines should concentrate and on operating airlines). What do you think, should firms hedge? Why or why not?

It is highly recommended that you submit your initial post the 4th day of the module week. After your initial post, be sure to reply to at least two of your classmates by the end of the module week.

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