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This article investigates airline pricing and airport congestion charges in hub-spoke networks. When a public hub … airport and two public spoke (local) airports independently levy their charges, airlines will eventually set a ticket price …
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This paper sets up a microeconomics model to analyze the market outcomes of two-part tariffs and three-part tariffs. Specifically, this paper compare the market outcomes of a single two-part tariffs to a single three-part tariffs under the assumptions that the market structure is monopolistic,...
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Spirit charges carry-on baggage fee. Looking into potentially heterogeneous impacts, we find that the policy impact is … average price (linear or log) and various points on the price distribution. We also develop a stylized theory model to help …
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