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This study investigates congestion pricing and capacity investment for two interlinked countries (airports). Each country's home airline serves both airports, and passengers make a round trip. Under Bertrand-Nash behavior assumptions, we find the following. First, a country's locally optimal...
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This study investigates airport pricing and capacity investment when passengers face schedule and congestion delays. Two countries' airports are served by each country's home carrier. Airports choose their charges on a per-flight and/or per-passenger basis. Carriers choose both quantities and...
Persistent link: https://www.econbiz.de/10012859719
This paper studies the influencing factors on entry (certification) of new airlines into the US airline industry over 21 years (1979-1999). These rates exhibit considerable fluctuations over the observed period. We analyze the US airline industry for a period of 21 years to determine the...
Persistent link: https://www.econbiz.de/10013052018
We examine the impact on air travelers of an enforcement action issued by the U.S. Department of Transportation in January 2012 that required U.S. air carriers and online travel agents to incorporate all mandatory taxes and fees into their advertised fares. Exploiting cross-itinerary ticket tax...
Persistent link: https://www.econbiz.de/10012016111
This paper develops a model to explain and analyze the evolution of network structure (connectivity) and design (flight frequency, aircraft size, prices) in the post-deregulation U.S. airline industry. We show that legacy carriers choice of Hub-and-Spoke networks and the emergence of low cost...
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Although the aviation industry is increasingly becoming important for Africa's economic development and integration, the ability of airlines to access foreign markets remains hindered by restrictive regulatory policies. Attempts have been made to fully liberalize the intra-African air transport...
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