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Working Paper
U.S. air passenger service: a taxonomy of route networks, hub locations, and competition
In this paper, we analyze the service provided by the 13 largest U.S. passenger airlines to the 100 most populous U.S. metropolitan areas in 1989. We classify the route systems by their nature and geographical extent using a variety of measures based on route-level data. We then identify individual airline hub locations and derive and calculate several measures of the extent of competition both on individual routes and at the airports in our sample. The results show the wide diversity of route networks that existed in the airline industry in 1989--a phenomenon that may help to explain the ...
Working Paper
The determinants of airport hub locations, service, and competition
Although the airline industry has been studied extensively since passage of the Airline Deregulation Act of 1978, relatively little effort has gone into examining how hub location affects the level of service and degree of competition found at airports in the system. To help close this gap, we investigate the geographic distribution of airline hub operations, the level of service, and the extent of competition at 112 major U.S. airports, extending previous work by Bauer (1987) and Butler and Huston (1989). Our key innovation is that we derive our measures of service and competition from ...
Journal Article
Air South: small airline, big ambition
A young upstart in the airline business is expanding the South's flight options and might bring economic development to Columbia, S.C., as well.
Working Paper
TFP growth, change in efficiency, and technological progress in the U. S. airline industry: 1970 to 1981
An overview of the airline industry's early adaptations to deregulation using a best-practice cost function approach; measures cost efficiency and changes in total factor productivity growth for airlines in the 1970s and early 1980s and discusses how these findings relate to individual airline performance.
Journal Article
3 for the economists
Journal Article
International travel: double trouble
Working Paper
The effects of competition on price dispersion in the airline industry: a panel analysis
This paper analyzes the effects of market structure on price dispersion in the airline industry, using panel data from 1993 through 2006. The results found in this paper contrast with those of Borenstein and Rose (1994), who found that price dispersion increases with competition. We find that competition has a negative effect on price dispersion, in line with the textbook treatment of price discrimination. Specifically, the effects of competition on price dispersion are most significant on routes that we identify as having consumers characterized by relatively heterogeneous elasticities of ...
Journal Article
Airline deregulation: is it time to finish the job?
A critical look at the report of the National Commission to Ensure a Strong Competitive Airline Industry, including an examination of the current state of the industry and prospects for the future.
Journal Article
Playing the pieces of New England's airport system
Journal Article
Regional airports: fear of not flying