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Total factor productivity analysis of the UK airport industry: A Hicks-Moorsteen index method

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  • See, Kok Fong
  • Li, Fei

Abstract

This study examines the total factor productivity (TFP) change of the UK airport industry from 2001 to 2009 using a Hicks-Moorsteen index method. The results show that the industry experienced an average annual growth in TFP of 0.32 per cent with efficiency change being the main contributor to the TFP growth. We find that private UK airports enjoy slightly higher TFP growth than those in public or mixed ownership. Regulation and airport size are found to have statistically significant effects on the airport productivity level.

Suggested Citation

  • See, Kok Fong & Li, Fei, 2015. "Total factor productivity analysis of the UK airport industry: A Hicks-Moorsteen index method," Journal of Air Transport Management, Elsevier, vol. 43(C), pages 1-10.
  • Handle: RePEc:eee:jaitra:v:43:y:2015:i:c:p:1-10
    DOI: 10.1016/j.jairtraman.2014.12.001
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    Keywords

    Productivity growth; UK airports; Hicks-Moorsteen index;

    JEL classification:

    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • L32 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Public Enterprises; Public-Private Enterprises

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