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Is it in Germany's economic interest to allow Emirates to fly to Berlin? A framework for analysis

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  • Forsyth, Peter

Abstract

The economic approach (as compared to the traditional exchange of rights approach) to evaluating international aviation liberalisation proposals is gradually becoming more commonly used. With it, the various benefits and costs of liberalisation are assessed in a cost benefit framework. This approach is used to develop a framework to evaluate whether Germany will gain or lose from allowing airlines of the United Arab Emirates, and specifically Emirates Airlines, to fly to Berlin. This is something that the German government has so far refused. The economic approach is still evolving, and several new aspects of cost and benefits are being recognised and evaluated, for example the implications of foreign ownership of airlines, and benefits from inbound tourism. In this paper, a framework for determining whether Germany will gain from allowing these airlines access to Berlin is set out, and indicative conclusions are drawn.

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  • Forsyth, Peter, 2014. "Is it in Germany's economic interest to allow Emirates to fly to Berlin? A framework for analysis," Journal of Air Transport Management, Elsevier, vol. 41(C), pages 38-44.
    • Handle: RePEc:eee:jaitra:v:41:y:2014:i:c:p:38-44
    DOI: 10.1016/j.jairtraman.2014.06.014
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    References listed on IDEAS

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    1. Forsyth, Peter, 2006. "Martin Kunz Memorial Lecture. Tourism benefits and aviation policy," Journal of Air Transport Management, Elsevier, vol. 12(1), pages 3-13.
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    3. Dreze, Jean & Stern, Nicholas, 1987. "The theory of cost-benefit analysis," Handbook of Public Economics, in: A. J. Auerbach & M. Feldstein (ed.), Handbook of Public Economics, edition 1, volume 2, chapter 14, pages 909-989, Elsevier.
    4. Charles E. Schlumberger, 2010. "Open Skies for Africa : Implementing the Yamoussoukro Decision," World Bank Publications - Books, The World Bank Group, number 2467, December.
    5. Gillen, David & Harris, Richard & Hoon Oum, Tae, 2002. "Measuring the economic effects of bilateral liberalization air transport," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 38(3-4), pages 155-174, May.
    6. Daniel J. Graham, 2007. "Agglomeration, Productivity and Transport Investment," Journal of Transport Economics and Policy, University of Bath, vol. 41(3), pages 317-343, September.
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    Cited by:

    1. Wu, You & Lange, Anne & Mantin, Benny, 2022. "Who benefits from air service agreements? The case of international air cargo operations," Transportation Research Part B: Methodological, Elsevier, vol. 163(C), pages 281-303.

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