Comment réguler le secteur aérien ?. Structure optimale de l'offre de services

Etienne Billette de Villemeur

Revue économique, 2004, vol. 55, issue 3, 533-542

Abstract: This paper studies the optimal structure of supply in the air-transportation industry. The impact of price regulation on quality is taken into account. It is shown that, at the first-best optimum, the generalised transportation price (ticket price + time costs) exactly equals the average costs. At the second-best optimum, the Ramsey-Boiteux formula that defines the optimal price is unchanged. It is also shown that the rule that decides the flights? frequency does not depend on the market structure. A mechanism is proposed in order to implement the optimal allocation. Classification JEL : L93, L51

JEL-codes: L51 L93 (search for similar items in EconPapers)
Date: 2004
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