Many tourist industry officials often lobby their local governments to invest heavily airport infrastructure (e.g. longer runways and larger terminals) in order to accommodate direct flights. We evaluate the impact of the recent initiation of direct flights from the U.S. west coast to Hawaii's...

Efficiency gain from Aitken estimation in the seemingly unrelated regressions [Zellner (1962)] is not obtained when regressors are identical [Dwivendi and Srivastrava (1978)]. Swamy and Mehta (1975) show that there is efficiency gain from Aitken estimation when there are unequal numbers of...