U.S. Domestic Airline Pricing, 1995-2004
UC Berkeley Competition Policy Working Paper No. CPC05-48
18 Pages Posted: 24 Feb 2005
Date Written: January 2005
Abstract
Between 1995 and 2004, I find that airline prices fell more than 20% adjusted for inflation. I also show that premia at hub airports declined and that there is now substantially less disparity between the cheaper and more expensive airports than there was a decade ago. Still, I find that prices remain quite high at a few dominated airports.
Keywords: Airline Competition, Airline Hubs, Price Indices
JEL Classification: L13, L93, E31
Suggested Citation: Suggested Citation
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