Based on two strands of theoretical research, this paper provides new evidence on how fares are jointly affected by in-flight seat availability and purchasing date. As capacity-driven theories predict, it emerges that fares monotonically and substantially increase with the flights occupancy...

We investigate the pricing behaviour of firms facing date-specific demand shocks, by focussing on Parisian hotels during a big event, the 2016 European Football Cup. Using a unique dataset, we document an initial propensity to set the same price for rooms on different match dates, although...

Using data on four large mergers in the U.S. airline industry, we find consistent and significant effects of mergers on peripheral markets (i.e. those in which neither of the merging firms currently competes). Although such markets are rarely the focus of antitrust analysis, we demonstrate that...

Airfares vary across the booking horizon according to intertemporal price discrimination and adjustment of fares in response to stochastic demand shocks. Previous works studying these economic forces abstract away from the ramifications of pricing an itinerary has on revenue and consumer welfare...

The paper investigates the construction of a low cost airline network by analyzing JetBlue Airways' entry decisions into nonstop domestic U.S. airport-pair markets between 2000 and 2009. Adopting duration models with time-varying covariates, we find that JetBlue consistently avoided concentrated...

We explore how pricing dynamics in the European airline industry vary with the competitive environment. Our results highlight substantial variations in pricing dynamics that are consistent with a theory of intertemporal price discrimination. First, the rate at which prices increase towards the...

Based on two strands of theoretical research, this paper provides new evidence on how fares are jointly affected by in-flight seat availability and purchasing date. As capacity-driven theories predict, it emerges that fares monotonically and substantially increase with the flights occupancy...

Based on two strands of theoretical research, this paper provides new evidence on how fares are jointly affected by in-flight seat availability and purchasing date. As capacity-driven theories predict, it emerges that fares monotonically and substantially increase with the flights occupancy...

Frequent Flier Programs (FFPs) are said to impact airline consumer behaviour such that revenue of sponsoring airlines increases. Prior research relies on aggregate industry data to study FFPs. We examine the impact of FFPs on individual consumer behaviour in a quasi-natural experimental set-up...

We analyze the phenomenon of hub dominance by developing a model relating faresto distance, using the mainleg of intercontinental flights for scaling purposes. Our results indicate thatat least some of the major Europeancarriers place a mark up on flights originating from or going to their hubs.