How do airlines react to airport congestion? The role of networks

Xavier Fageda and Ricardo Flores-Fillol

Regional Science and Urban Economics, 2016, vol. 56, issue C, 73-81

Abstract: In this paper, we investigate the relationship between airline network structure and airport congestion. More specifically, we study the ways in which airlines adjust frequencies to delays (as a measure of airport congestion) depending on the network type they operate. Our results suggest that network structure has a fundamental impact. Thus, while airlines operating fully-connected configurations reduce frequencies in response to more frequent delays, airlines operating hub-and-spoke structures increase frequencies. Therefore, network airlines have incentives to keep frequencies high even if this is at the expense of a greater congestion at their hub airports. This result sheds light on previously unclear results in the literature.

Keywords: Airline networks; Airport congestion; Delays (search for similar items in EconPapers)
JEL-codes: L13 L93 R41 (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (15)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0166046215000940
Full text for ScienceDirect subscribers only

Related works:
Working Paper: How Do Airlines React to Airport Congestion? The Role of Networks (2015)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:regeco:v:56:y:2016:i:c:p:73-81

DOI: 10.1016/j.regsciurbeco.2015.11.002

Access Statistics for this article

Regional Science and Urban Economics is currently edited by D.P McMillen and Y. Zenou

More articles in Regional Science and Urban Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().