When there is significant overlap in potential partner airlines' route networks, policymakers have expressed concern that an alliance between such airlines may facilitate collusion on price and/or service levels in the partners' overlapping markets. The contribution of our paper is to put...

Retrospective studies of horizontal mergers have focused on their price effects, leaving the important question of how mergers affect product quality largely unanswered. This paper empirically investigates this issue for two recent airline mergers: Delta/Northwest and Continental/United....

Much of the literature on the airline industry identifies a potential entrant to a market based on whether the relevant carrier has presence in at least one of the endpoint airports of the market without actually operating between the endpoints. Furthermore, a potential entrant is often defined...

We demonstrate how a non-nested statistical test developed by Vuong (1989) can be used to assess the suitability of alternate order-of-entry assumptions used for identification purposes in empirical entry models. As an example, we estimate an entry model of McDonald’s and Burger King...

Analysts of air travel markets, which include antitrust authorities, are interested in understanding the extent to which the presence of intermediate stop(s) products influences the pricing of nonstop products. This paper uses a structural econometric model to investigate the potential pricing...

A weakening dependence on rain-fed agriculture has been a hallmark of the economictransformation of countries throughout history. Rural citizens in developing countries to-day, however, remain highly exposed to fluctuations in the weather. This exposure affectsthe incomes these citizens earn and...

Nonprofit (NP) organizations provide key social service goods but rely on donations, obtained in a competitive environment, for that provision. Yet most research focuses on competition in the output markets without considering inter- and intra-sector competition in the markets for donations....

This study examines whether nonprofits (NP) engage in ‘excessive’ fundraising (EF) relative to what may be socially optimal. The investigation requires using a structural empirical model to approximate socially optimal fundraising levels. The analysis reveals evidence of EF of up to 31% in a...

This study examines the extent to which government grants to nonprofits crowd-out or crowd-in private giving to them. Grants influence private giving via two channels: (i) “directly” through donors’ preference-induced optimal change in their giving in response to the grants; and (ii)...

The significant worldwide decline in crude oil price beginning in mid-2014 through to 2015, which resulted in substantial fuel expense reductions for airlines, but no apparent commensurate reductions in industry average airfares has caused much public debate. This paper examines the market...