AIRLINE REGULATION AND SERVICE TO SMALL COMMUNITIES

The role of the U.S. Civil Aeronautics Board in preserving small community airline services has been the subject of much contention among participants in the airline deregulation debate. In this paper we examine the impact of CAB regulation on such services. We find that (1) at most, 49 small communities would lose airline service if domestic airlines were deregulated and (2) service to these 49 communities could be preserved by increasing the marginal subsidies received by the carriers for serving them. Thus society does not need to regulate air transportation merely to preserve such services.

  • Supplemental Notes:
    • This paper appeared in Land Economics, Vol. 55, No. 2 (May 1979), pp 253-268
  • Corporate Authors:

    Purdue University

    Institute for Research in Behavioral, Ecology and Management Sciences
    West Lafayette, IN  USA  47907
  • Authors:
    • Pustay, M W
  • Publication Date: 1978-4

Media Info

  • Pagination: 35 p.

Subject/Index Terms

Filing Info

  • Accession Number: 00195737
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Jul 31 1979 12:00AM