Measuring Conduct and Cost Parameters in the Spanish Air Transport Market

This paper estimates a model of airline competition for the Spanish air transport market. I test the explanatory power of alternative oligopoly models with capacity constraints. In addition, I analyse the degree of density economies. Results show that Spanish airlines conduct follows a price-leadership scheme so that it is less competitive than the Cournot solution. I also find evidence that thin routes can be considered as natural monopolies.

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Year of publication:	2004
Authors:	Sanjuan, Xavier Fageda
Institutions:	Facultat d'Economia i Empresa, Universitat de Barcelona
Subject:	multiple equation models \| air transportation \| oligopoly

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Series:	Working Papers in Economics.
Type of publication:	Book / Working Paper
Notes:	The text is part of a series Documents de Treball Number 125 27 pages
Classification:	D43 - Oligopoly and Other Forms of Market Imperfection ; L93 - Air Transportation ; C30 - Econometric Methods: Multiple/Simultaneous Equation Models. General ; L13 - Oligopoly and Other Imperfect Markets
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005120752