Identify the key factors that drive the firm

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Question: When the multiplicative revenue shock prevails, the competitive firm optimally uses options for hedging purposes. Identify the key factors that drive the firm to include options in its optimal hedge position.

Reference no: EM131478478

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Identify the key factors that drive the firm : When the multiplicative revenue shock prevails, the competitive firm optimally uses options for hedging purposes. Identify the key factors that drive the firm.

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