Economics of the U.S. Commercial Airline Industry: Productivity, Technology and Deregulation

1. Front Matter

   Pages i-xv

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2. Productivity, Technology and Efficiency in the U.S Commercial Airline Industry

   • Ivan L. Pitt, John R. Norsworthy

   Pages 1-8

3. Economics of Commercial Aircraft

   • Ivan L. Pitt, John R. Norsworthy

   Pages 9-39

4. Aircraft Characteristics

   • Ivan L. Pitt, John R. Norsworthy

   Pages 41-65

5. A Brief Review of Airline Regulation

   • Ivan L. Pitt, John R. Norsworthy

   Pages 67-96

6. Theories and Measurement of Productivity and Technological Change

   • Ivan L. Pitt, John R. Norsworthy

   Pages 97-109

7. Technological Change and Investment in Commercial Aircraft: Model Specification

   • Ivan L. Pitt, John R. Norsworthy

   Pages 111-137

8. Empirical Estimation and Quantitative Analysis

   • Ivan L. Pitt, John R. Norsworthy

   Pages 139-164

9. Conclusions

   • Ivan L. Pitt, John R. Norsworthy

   Pages 165-169

10. Back Matter

    Pages 171-191

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Economics of the U.S. Commercial Airline Industry: Productivity, Technology and Deregulation illustrates the impact of upstream technological change in capital goods (aircraft and aircraft engines) on demand, productivity, and cost reduction in the U.S. airline industry for the years 1970-1992. The aim is to separate supply-side technology push from demand pull in determining investment in aircraft in the US airline industry. The focus of inquiry in this study is at the company level, so the measures are sensitive to company differences such as financial costs, payload, and existing aircraft inventory rather than industry averages. This monograph builds on the new developments in econometric modeling and has a substantial technical component. The quantitative results lead to implications for understanding technology and its impact on the airline industry, as well as for formulating regulatory policy.

• deregulation
• econometrics
• productivity
• regulation

• Center for Science and Technology Policy, Rensselaer Polytechnic Institute, Troy, USA

  Ivan L. Pitt

• Lally School of Management and Technology, Rensselaer Polytechnic Institute, Troy, USA

  John R. Norsworthy

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