Graduate Thesis Or Dissertation
 

The effects of Southwest Airlines on U.S. airline markets

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https://ir.library.oregonstate.edu/concern/graduate_thesis_or_dissertations/7w62fc772

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  • This paper involved the estimation of a series of fare equations in order to ascertain the effects of actual and potential competition by Southwest on markets for air travel. The results indicate that pricing strategies differ depending on Southwest's presence on a route, which is not consistent with the theory that airline markets are contestable. Concentration is not a determinant of airfares when a general specification is adopted. This indicates that: other route characteristics need to be taken into account to evaluate the competitiveness of a route.
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