Secretary's Task Force on Competition in the U.S. Domestic Airline Industry. Pricing. Executive Summary

摘要

The Executive Summary is of a study of airline pricing, conducted as part of a broader assessment of airline competition since deregulation. The study documents and analyzes the pricing behavior of the domestic airline industry currently and over time as it relates to readily measurable determinants of price such as distance, density, and number of competitors. The effect of hub concentration on airline pricing behavior is examined. The implications of yield management systems for pricing and competition are also reviewed. The Executive Summary provides a brief summary of the study's analytical results. It presents data on fare levels and fare structure, noting industry trends and the variation of fares with distance. It also examines the fare situation at highly concentrated hub airports, and the relationship of fares to exit and entry of competitors.