Related papers: Common Subcontracting and Airline Prices

This paper aims to discuss the impacts of low-cost airlines on the air transport market and, in particular, to present the most recent findings from the specialized literature in this field. To this end, several papers published on the…

This study aims to discuss the impacts of a low-cost airline on the air transport market and, especially, to present the most recent findings from specialized literature in the field. To this end, various works on this topic, published…

We have collected and analysed prices for more than 1.4 million flight tickets involving 63 destinations and 125 airlines and have found that common sense violation i.e., discrepancies between what consumers would expect and what truly…

This thesis investigates the dynamics of multimarket contact and airline mergers on collusive pricing of airlines. In align with Bernheim and Whinston (1990) and Athey et.al.(2004), it detects collusive pricing via pairwise price difference…

We develop a model of inter-temporal and intra-temporal price discrimination by monopoly airlines to study the ability of different discriminatory pricing mechanisms to increase efficiency and the associated distributional implications. To…

In this paper, we examine the effect of various contracts between a socially concerned airport and an environmentally conscious airline regarding their profitability and channel coordination under two distinct settings. First, we consider…

This paper examines the relationship between changes in telecommunications provider concentration on international long distance routes and changes in prices on those routes. Overall, decreased concentration is associated with significantly…

I examine how upstream mergers affect negotiated prices when suppliers bargain with a monopoly intermediary selling products to final consumers. Conventional wisdom holds that such transactions lower negotiated prices when the products are…

I show that firms price almost competitively and consumers can infer product quality from prices in markets where firms differ in quality and production cost, and learning prices is costly. Bankruptcy risk or regulation links higher quality…

This study investigates how the layout and density of seats in aircraft cabins influence the pricing of airline tickets on domestic flights. The analysis is based on microdata from boarding passes linked to face-to-face interviews with…

Premium air travel is often associated with a disproportionately large carbon emissions footprint. This association reflects the increased space and amenities typically found in premium cabins that existing discourse suggests makes their…

Consumers in many markets are uncertain about firms' qualities and costs, so buy based on both the price and the quality inferred from it. Optimal pricing depends on consumer heterogeneity only when firms with higher quality have higher…

The ability to make international roaming calls is of increasing importance to customers in Europe. This contrasts with various complaints that retail prices of roaming calls are rigid and excessive. The focus if the paper is on wholesale…

We consider the problem of efficiently constructing cheap and novel round trip flight itineraries by combining legs from different airlines. We analyse the factors that contribute towards the price of such itineraries and find that many…

We investigate the allegation that legacy U.S. airlines communicated via earnings calls to coordinate with other legacy airlines in offering fewer seats on competitive routes. To this end, we first use text analytics to build a novel…

Aircraft manufacturing relies on pre-order bookings. The configuration of the to be assembled aircraft is fixed by the design assisted market surveys. The sensitivity of the supply chain to the market conditions, makes, the relationship…

The European Union Emissions Trading System is set to substantially increase the effective carbon price faced by airlines. To quantify the impact of this carbon regulation on the European airline industry, we estimate a two-stage model of…

In the for-hire truckload market, firms often experience unexpected transportation cost increases due to contracted transportation service provider (carrier) load rejections. The dominant procurement strategy results in long-term,…

We present a stylized model of the allocation of resources on a network. By considering as a concrete example the network of sectors of the airspace, where each node is a sector characterized by a maximal number of simultaneously present…

We introduce pricing formulas for competition and collusion models of two-sided markets with an outside option. For the competition model, we find conditions under which prices and consumer surplus may increase or decrease if the outside…