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Models of the Demand for Air Transportation

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  • Philip K. Verleger Jr.

Abstract

Due to the elaborate regulatory procedures established by the U.S. Civil Aeronautics Board, the demand for transportation by air has been the subject of many studies. The purpose of this paper is to compare three different empirical approaches for suitability to the analysis of demand. Two aggregate and one disaggregate approaches are explored. In addition, a more general method of measuring mass in gravity models is introduced. The results from the disaggregated model indicate the inadvisability of using aggregate or cross-sectional models for the analysis of the effects of regulatory policy.

Suggested Citation

  • Philip K. Verleger Jr., 1972. "Models of the Demand for Air Transportation," Bell Journal of Economics, The RAND Corporation, vol. 3(2), pages 437-457, Autumn.
    • Handle: RePEc:rje:bellje:v:3:y:1972:i:autumn:p:437-457
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    Cited by:

    1. Dobruszkes, Frédéric & Vandermotten, Christian, 2022. "Do scale and the type of markets matter? Revisiting the determinants of passenger air services worldwide," Journal of Air Transport Management, Elsevier, vol. 99(C).
    2. Wei, Wenbin & Hansen, Mark, 2006. "An aggregate demand model for air passenger traffic in the hub-and-spoke network," Transportation Research Part A: Policy and Practice, Elsevier, vol. 40(10), pages 841-851, December.
    3. Gallet, Craig A. & Doucouliagos, Hristos, 2014. "The income elasticity of air travel: A meta-analysis," Annals of Tourism Research, Elsevier, vol. 49(C), pages 141-155.
    4. Frédéric Dobruszkes & Christian Vandermotten, 2022. "Do scale and the type of markets matter? Revisiting the determinants of passenger air services worldwide," ULB Institutional Repository 2013/336304, ULB -- Universite Libre de Bruxelles.
    5. Cameron Hepburn & Benito Müller, 2010. "International Air Travel and Greenhouse Gas Emissions: A Proposal for an Adaptation Levy1," The World Economy, Wiley Blackwell, vol. 33(6), pages 830-849, June.
    6. Tillmann, Andreas M. & Joormann, Imke & Ammann, Sabrina C.L., 2023. "Reproducible air passenger demand estimation," Journal of Air Transport Management, Elsevier, vol. 112(C).
    7. Grosche, Tobias & Rothlauf, Franz & Heinzl, Armin, 2007. "Gravity models for airline passenger volume estimation," Journal of Air Transport Management, Elsevier, vol. 13(4), pages 175-183.
    8. Hofer, Christian & Kali, Raja & Mendez, Fabio, 2018. "Socio-economic mobility and air passenger demand in the U.S," Transportation Research Part A: Policy and Practice, Elsevier, vol. 112(C), pages 85-94.
    9. Berrittella, Maria & Franca, Luigi La & Mandina, Vito & Zito, Pietro, 2007. "Modelling strategic alliances in the wide-body long-range aircraft market," Journal of Air Transport Management, Elsevier, vol. 13(3), pages 139-148.
    10. Alderighi, Marco & Gaggero, Alberto A., 2014. "The effects of global alliances on international flight frequencies: Some evidence from Italy," Journal of Air Transport Management, Elsevier, vol. 39(C), pages 30-33.
    11. Coldren, Gregory M. & Koppelman, Frank S., 2005. "Modeling the competition among air-travel itinerary shares: GEV model development," Transportation Research Part A: Policy and Practice, Elsevier, vol. 39(4), pages 345-365, May.
    12. Shepard, Lawrence, 1977. "The Potential Impact Of Airline Deregulation On Feeder Routes In The Far West," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 2, pages 1-10, December.

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