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European Airline Reform: An Empirical Welfare Analysis

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Author Info
Youdi Schipper
Piet Rietveld
Peter Nijkamp

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Abstract

This study empirically explores welfare effects associated with bilateral airline liberalisation on European interstate routes. To this end, a sample of 34 routes with varying liberalisation status has been investigated econometrically for the period 1988 to 1992. The estimated fare and frequency equations show that standard economy fares are lower and departure frequencies are higher on fully liberalised routes than on routes without such liberalisation. Welfare calculations based on the estimated demand equation indicate that full bilateral liberalisation has resulted in consumer welfare gains. © The London School of Economics and the University of Bath 2002

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File URL: http://www.catchword.com/cgi-bin/cgi?ini=bc&body=linker&reqidx=0022-5258(20020501)36:2L.189;1-
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Publisher Info
Article provided by London School of Economics and University of Bath in its journal Journal of Transport Economics and Policy.

Volume (Year): 36 (2002)
Issue (Month): 2 (May)
Pages: 189-209
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Handle: RePEc:tpe:jtecpo:v:36:y:2002:i:2:p:189-209

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Web page: http://www.bath.ac.uk/e-journals/jtep

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  1. Carlsson, Fredrik, 2002. "Price and Frequency Choice under Monopoly and Competition in Aviation Markets," Working Papers in Economics 71, Göteborg University, Department of Economics. [Downloadable!]
  2. Maria José Gil-Moltó & Claudio A. Piga, 2007. "Entry and Exit in a Liberalised Market," Rivista di Politica Economica, SIPI Spa, vol. 97(1), pages 3-38, January-F. [Downloadable!]
    Other versions:
  3. Volodymir BilotKach & Xavier Fageda & Ricardo Flores-Fillol, 2009. "Scheduled service versus personal transportation: the role of distance," Working Papers 2009-10, FEDEA. [Downloadable!]
    Other versions:
  4. Anming Zhang & Yimin Zhang, 2001. "A Model of Air Cargo Liberalization: Passenger vs. All-Cargo Carriers," Microeconomics Working Papers 229, East Asian Bureau of Economic Research. [Downloadable!]
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This page was last updated on 2009-11-19.

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