THE ECONOMIC EFFICIENCY OF REGIONAL AIR CARRIERS IN THE NATIONAL TRANSPORTATION SYSTEM

AN EXPLANATION IS ATTEMPTED OF THE ECONOMIC PROBLEMS FACED BY THE SMALL REGIONAL AIR CARRIERS IN CANADA. THE DIFFICULTIES THEY ENCOUNTER INCLUDE SHORT HAUL ROUTES, LOW TRAFFIC DENSITY, UNSTABLE TRAFFIC FLOW AND A SMALL SCALE OF OPERATIONS. UNDER MODERN CONDITIONS, LARGE FIRMS ARE MORE LIKELY TO ACHIEVE EFFICIENT AND PROFITABLE RESULTS. IN THE CASE OF THE REGIONAL AIR CARRIERS, COMPETITION IS UNEVEN, AND THE PROSPECT OF SUBSTANTIAL SIZE OF FIRMS IS REMOTE. IN THIS PAPER, EFFICIENCY IS MEASURED BY THREE FACTORS, NAMELY 1) COST PER AVAILABLE TON-MILE 2) EMPLOYEE PER A.T.M. AND 3) LOAD FACTORS. COMPARISONS ARE MADE ON THIS BASIS WITH THE LARGER TRANS-CONTINENTAL AIRLINES. THE AUTHOR EXPLAINS WHY COSTS ARE MUCH HIGHER, AND EFFICIENCY LOWER AND POSES SOLUTIONS TO THIS PROBLEM. /CGRA/

  • Supplemental Notes:
    • 20 Pp, 7 TaB, 19 REF, 3 APP
  • Corporate Authors:

    University of Manitoba

    Winnipeg, Manitoba  Canada  R3T 2N2
  • Authors:
    • HARRIS, R F
  • Publication Date: 1969-1

Subject/Index Terms

Filing Info

  • Accession Number: 00201277
  • Record Type: Publication
  • Source Agency: CANADIAN GOOD ROADS ASSOCIATION
  • Files: TRIS
  • Created Date: Dec 29 1994 12:00AM