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The assessment of the EU–US Open Skies Agreement: The counterfactual and other difficulties

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  • Pitfield, D.E.

Abstract

The advent of the EU–US Open Skies Agreement has been widely anticipated. A number of consequences have been predicted, for example, impacts on fares, on passenger volumes, choice and on consumer welfare. Airline costs are also predicted to fall as a result of increased competitiveness and increased cooperation among airlines. In the short period since the implementation of the Agreement, it is relatively easy to assess the supply-side changes that have been made, but more difficult to make wider judgements. For example, can traffic growth be attributed to Open Skies and does airline and alliance market power result in less fare flexibility with consequently less influence on changes in passenger volumes? Have airline costs changed and what has been the source of the savings? This paper offers some insight into the data that will be required to make these and other wider judgements and discusses some methodological difficulties.

Suggested Citation

  • Pitfield, D.E., 2009. "The assessment of the EU–US Open Skies Agreement: The counterfactual and other difficulties," Journal of Air Transport Management, Elsevier, vol. 15(6), pages 308-314.
    • Handle: RePEc:eee:jaitra:v:15:y:2009:i:6:p:308-314
    DOI: 10.1016/j.jairtraman.2009.04.002
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    Cited by:

    1. Tello Contreras, Juan, 2017. "An Analysis Of The Open Skies Policy And Its Effects On The Tourism Industry In Mexico," Journal of Tourism, Sustainability and Well-being, Cinturs - Research Centre for Tourism, Sustainability and Well-being, University of Algarve, vol. 5(4), pages 376-399.
    2. Alves, Vera & Forte, Rosa, 2015. "A Cournot model for analysing the effects of an open skies agreement," Journal of Air Transport Management, Elsevier, vol. 42(C), pages 125-134.
    3. Kenneth Button & Rui Neiva & Junyang Yuan, 2014. "Economic development and the impact of the EU--US Transatlantic Open Skies Air Transport Agreement," Applied Economics Letters, Taylor & Francis Journals, vol. 21(11), pages 767-770, July.
    4. Njoya, Eric Tchouamou & Christidis, Panayiotis & Nikitas, Alexandros, 2018. "Understanding the impact of liberalisation in the EU-Africa aviation market," Journal of Transport Geography, Elsevier, vol. 71(C), pages 161-171.
    5. Christidis, Panayotis, 2016. "Four shades of Open Skies: European Union and four main external partners," Journal of Transport Geography, Elsevier, vol. 50(C), pages 105-114.
    6. Zhang, Shengrun & Derudder, Ben & Fuellhart, Kurt & Witlox, Frank, 2018. "Carriers’ entry patterns under EU-US open skies agreement," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 111(C), pages 101-112.

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