Pricing the major US hub airports
AbstractImplementing congestion pricing at 27 major US airports would reduce delays by 13 passenger-years and 1000 aircraft-hours every day, saving 3-5 million dollars daily. Chicago and Atlanta would save about 1000 dollars per aircraft. Airport revenues would increase about 11 million dollars daily. A bottleneck model with stochastic queues estimates substantial welfare gains whether or not airlines internalize self-imposed delays. Erroneously imposing fees from the non-internalizing specification on internalizing airlines, however, would be a costly mistake. The model calculates equilibrium traffic rates, queuing delays, layover times, connection times, and congestion fee schedules by minute of the day.
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Bibliographic InfoArticle provided by Elsevier in its journal Journal of Urban Economics.
Volume (Year): 66 (2009)
Issue (Month): 1 (July)
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Web page: http://www.elsevier.com/locate/inca/622905
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