EconPapers    
Economics at your fingertips  
 

Measuring Conduct and Cost Parameters in the Spanish Airline Market

Xavier Fageda

Review of Industrial Organization, 2006, vol. 28, issue 4, 379-399

Abstract: This paper examines airline competition through an empirical specification of a demand and pricing equation system. The system is estimated for the Spanish airline market using a simultaneous procedure. The suitability of the Cournot assumption is tested in a competitive scenario characterized by an asymmetric oligopoly with capacity constraints. In addition, the degree of density economies is analyzed. Results show that Spanish airlines behave in a less competitive way than is implied by the Cournot solution. Finally, some evidence on the fact that thin routes can be considered as natural monopolies is found. Copyright Springer 2006

Keywords: oligopoly; air transportation; multiple equation models; D43; L13; L93; C30 (search for similar items in EconPapers)
Date: 2006
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (22) Track citations by RSS feed

Downloads: (external link)
http://hdl.handle.net/10.1007/s11151-006-9104-x (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: MEASURING CONDUCT AND COST PARAMETERS IN THE SPANISH AIRLINE MARKET (2005) Downloads
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:kap:revind:v:28:y:2006:i:4:p:379-399

Ordering information: This journal article can be ordered from
http://www.springer. ... on/journal/11151/PS2

DOI: 10.1007/s11151-006-9104-x

Access Statistics for this article

Review of Industrial Organization is currently edited by L.J. White

More articles in Review of Industrial Organization from Springer, The Industrial Organization Society Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().

 
Page updated 2021-06-06
Handle: RePEc:kap:revind:v:28:y:2006:i:4:p:379-399