How the Provincial Growth Fund can be used to fill the gap Jetstar is leaving

Australian budget airline, Jetstar, announced last week that it would be phasing out its flights to regional New Zealand destinations. It would impact the pockets of these consumers the most as it virtually hands national carrier Air New Zealand a monopoly over these flights. Without competition, the airline has no incentive to keep prices low despite capitalizing on Jetstar’s decision by offering promotional discount prices immediately after the latter’s announcement.

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