Open Skies: Estimating Travelers' Benefits from Free Trade in Airline Services

A-Tier
Journal: American Economic Journal: Economic Policy
Year: 2015
Volume: 7
Issue: 2
Pages: 370-414

Score contribution per author:

2.011 = (α=2.01 / 2 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

The United States has negotiated bilateral open skies agreements to deregulate airline competition on US international routes, but little is known about their effects on travelers' welfare and the gains from the US negotiating agreements with more countries. We develop a model of international airline competition to estimate the effects of open skies agreements on fares and flight frequency. We find the agreements have generated at least $4 billion in annual gains to travelers and that travelers would gain an additional $4 billion if the US negotiated agreements with other countries that have a significant amount of international passenger traffic. (JEL D12, L11, L51, L93, L98)

Technical Details

RePEc Handle
repec:aea:aejpol:v:7:y:2015:i:2:p:370-414
Journal Field
General
Author Count
2
Added to Database
2026-01-29