Evidence on market structure of the deregulated US airline industry

摘要: Airline deregulation in the USA was a rejection of inefficient regulation and inspired by perspective both potential actual competition industry. Using multivariate regression efficiency frontier techniques, emergent structure unregulated airline markets is assessed. Our findings, based on panel data for major US airlines during period 1984–1991, indicate that (1) as result successful efforts to reduce scope competition, aviation technology now exhibits increasing rather than constant returns network size predicted cost studies prior deregulation; (2) failed produce evidence convergence among carriers would be expected under sufficiently competitive conditions.