Pricing schemes for air traffic services through multi-level approaches

Rabah Guettaf and Felix Mora-Camino ()
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Rabah Guettaf: UMMTO - Université Mouloud Mammeri [Tizi Ouzou] = Mouloud Mammeri University of Tizi-Ouzou
Felix Mora-Camino: ENAC - Ecole Nationale de l'Aviation Civile

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Abstract: This article addresses the problem of air traffic service (ATS) pricing over a domestic air transportation system with either private or public ATS providers. In both cases, to take into account feedback effects on the air transportation market, it is considered that the adopted pricing approaches can be formulated through optimization problems where an imbedded optimization problem is concerned with the supply of air transportation (offered seat capacity and tariffs for each connection). Under mild assumptions in both situations the whole problem can be reformulated as a mathematical program with linear objective function and quadratic constraints. A numerical application is performed to compare both pricing schemes when different levels of taxes are applied to air carriers and passengers

Keywords: Pricing; Air traffic services; Quadratic optimization; Flows optimization in networks (search for similar items in EconPapers)
Date: 2018-07
New Economics Papers: this item is included in nep-reg and nep-tre
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Published in Applied Computing and Informatics, 2018, ⟨10.1016/j.aci.2018.07.001⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-02138628

DOI: 10.1016/j.aci.2018.07.001

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