Public Monopolies, Private Properties

This article surveys the current state of airport privatization, which is occurring in France, with the recent sale of a large minority stake in Aeroports de Paris, other locations in Europe, as well as South America. After the initial embrace of privatization as a way to improve management compared to practices by state-run monopolies, some observers are having doubts. One objection is that airport management raises fees and takes other measures to improve the bottom line before a sale, leaving the buyer with an overpriced facility. Airlines are leading objections in some cases. Outside of Brazil, where airports are under government control, up to 90 percent of all key airports have been at least partly privatized. There, the practice of awarding the bid to the offer with the highest immediate payout has led to problems. The complexities of bidding and operations are analyzed. One forecast predicts that nearly all major airports in Europe and in much of the rest of world will be under private control in the near future.

Language

  • English

Media Info

  • Media Type: Print
  • Features: Photos;
  • Pagination: pp 32-34, 36
  • Serial:

Subject/Index Terms

Filing Info

  • Accession Number: 01052233
  • Record Type: Publication
  • Source Agency: UC Berkeley Transportation Library
  • Files: BTRIS, TRIS
  • Created Date: Jun 21 2007 1:03PM