Following a brief review of the U.S. domestic airline industry under regulation (1938-1978), we study the changes that … have occurred in pricing, service, and competition in the 28 years since deregulation. We then examine some of the major … public policy issues facing the industry: (a) the sustainability of competition and volatility of airline profits, (b …

U.S. airlines have lost nearly $60 billion (2009 dollars) in domestic markets since deregulation, most of it in the … last decade. More than 30 years after domestic airline markets were deregulated, the dismal financial record is a puzzle … that challenges the economics of deregulation. I examine some of the most common explanations among industry participants …

airline industry. We consider an airline's choices of quality and price as dynamic decisions that trade off current cash flows …'s quality decisions are differentially affected by financial distress and bankruptcy. Product quality decreases when airlines …We analyze the interaction of firm product quality and pricing decisions with financial distress and bankruptcy in the …

increase use of high-quality inputs, as oligopolistic firms underuse these inputs when entry is constrained. We assess these … cardiac surgery in the state. We show that entry led to a redistribution of surgeries to higher-quality surgeons and that this …

We study the relation between product quality and worker quality using an economic model that, under certain conditions …, provides a direct link between product price, product quality and work force quality. Our measures of product quality are the …. Our worker quality measures are the firm's average person effect and personal characteristics effect from individual wage …

Airline transport generates a growing share of global greenhouse gas emissions but as of late 2016, this sector has not … faced U.S. fuel economy or emissions regulation. At any point in time, airlines own and lease a set of durable vehicles and … have invested in human and physical capital and an inventory of parts to maintain these vehicles. Each airline chooses …

empirical work. We provide reduced-form evidence that our model can explain why incumbent airlines cut prices when Southwest …

We estimate a model of service choice and price competition in airline markets, allowing for the carriers that provide …

. The turmoil in the U.S. airline industry has triggered much of the public policy discussion, as some observers have argued … that airlines in financial distress, particularly those operating under Chapter 11 bankruptcy protection, reduce prices to … the point of harming themselves and their competitors. This study investigates the pricing strategies of bankrupt airlines …

recognizing that competing airlines may increase service in response to a reduction in flights by a bankrupt airline. We do not …The airline industry's current financial crisis has raised concerns over the ramifications of airline bankruptcies for … healthy airlines are inclined to reduce flights. Moreover, from a consumer and policy perspective, the real concern is total …