What affect that have on lucky airs costs and ticket prices


• Question I: The Chinese government spent USD $20 billion on upgrading and opening new airports. What effect does this kind of policy initially have on GDP and unemployment?

• Question II: What additional effects to GDP may occur in the years following the investment in airport infrastructure?

• Question III: The Central Bank of China's main policy goal is to maintain the stability of the country's currency. What benefits might a stable currency have to Lucky Air as it expands internationally?

• Question IV: Suppose that inflation started to take hold in the Chinese economy. What affect would that have on Lucky Air's costs and ticket prices?

• Question V: Since the case study was written, Lucky Air has flights to 11 foreign countries. In your opinion, do you believe Lucky Air has been a successful firm? Why or why not?

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Microeconomics: What affect that have on lucky airs costs and ticket prices
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