European Air Navigation Services Industry Regulatory Reform and Averch-Johnson Effects

This article examines European Air Navigation Services industry regulatory reform. The authors focus on alternative institutional structures under which air navigation services are provided and evaluate the effects of those changes from an economic efficiency perspective. They use panel data from Europe to consider the effects of differing regulatory and financing systems on the provision of these services by deploying flexible form models. The data set includes 37 European systems, covering 2002 to 2010, with a sample size of 317 air navigation service providers. They report that the systems that have been commercialized are performing no better than those that have not and attribute this finding to Averch-Johnson effects. They define Averch-Johnson effects as the over accumulation of capital by companies, associated with implicit rate-of-return regulation embodied in corporatization. The authors conclude with a brief discussion of the impact of their findings, particularly in light of the European Single Sky initiative.

• Availability:
  • Find a library where document is available. Order URL: http://worldcat.org/issn/03918440
• Authors:
  • Button, Kenneth
  • Neiva, Rui
• Publication Date: 2014-3

Language

• English

Media Info

• Media Type: Print
• Features: References; Tables;
• Pagination: pp 33-50
• Serial:
  • International Journal of Transport Economics
  • Volume: 41
  • Issue Number: 1
  • ISSN: 0391-8440
  • Serial URL: http://www.libraweb.net/riviste.php?chiave=67

Subject/Index Terms

• TRT Terms: Aircraft pilotage; Aviation; Economic models; Economics; Government funding; Rate of return; Regulations; Regulatory reform; Subsidies
• Geographic Terms: Europe
• Subject Areas: Aviation; Economics; Law; I10: Economics and Administration; I72: Traffic and Transport Planning;

Filing Info

• Accession Number: 01531927
• Record Type: Publication
• Files: TRIS
• Created Date: Jul 29 2014 9:08AM