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The evolution of the European aviation network, 1990–1998

Guillaume Burghouwt and Jacco Hakfoort ()

Journal of Air Transport Management, 2001, vol. 7, issue 5, 311-318

Abstract: The deregulation of US aviation has led to drastic changes in route structures and to widespread adoption of the hub-and-spoke system. This paper investigates whether deregulation in the European Union has led to a similar pattern. The study uses time schedule data for all airports in the European Union during the period 1990–1998 and analyses both intra-European and intercontinental scheduled services. At the airport level, we find no evidence for the concentration of intra-European traffic on a small number of hubs. Air traffic to intercontinental destinations, however, is increasingly concentrated on hub airports. At the route level, a type of hub-and-spoke structure has developed. Here, the national carriers remain the dominant players. The market share of low-cost carriers has increased but is still very small. This paper concludes that a number of imperfections on the supply side of the market constrain the effect of European deregulation on competition.

Keywords: European aviation network; Deregulation; Cluster analysis (search for similar items in EconPapers)
Date: 2001
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