This paper shows that "strict" financial break-even for airports may not be socially desirable. To maximize social welfare, airports should be allowed to take losses or make profits at different times while achieving break-even only in the long run. In particular, with economies growing over...

In recent years airports have been under growing pressure to become financially self-sufficient and to pursue profit maximization in their non-aeronautical or concession operations. In this paper we examine the optimal pricing in a model where concession and aeronautical operations of an airport...

This paper provides a partial summary of the 2003 ATRS (Air Transport Research Society) Global Airport Benchmarking Report which uses the annual data for 2000-2001. The objective of the ATRS benchmarking report is to measure and compare the performance of several important aspects of airport...

Following the 9/11 terrorist incidence, most countries introduced security charges on air travel, mostly in the form of flat rate per passenger. However, it is clear that such flat rate per passenger may not be socially optimal as implied by previous studies on airport pricing including those...