American Economic Journal:
Economic Policy
ISSN 1945-7731 (Print) | ISSN 1945-774X (Online)
The Sky Is Not Flat: How Discriminatory Is the Access to International Air Services?
American Economic Journal: Economic Policy
vol. 5,
no. 3, August 2013
(pp. 287–319)
Abstract
Using information on 2,300 Air Services Agreements covering 184 countries, we investigate the impact of air services liberalization on passenger flows. We find that a certain level of liberalization is required to have a positive effect on passenger traffic. In particular, we estimate that the multilateralization of multiple designation provisions, Open Skies Agreements and European Economic Area-type agreements would increase passenger traffic worldwide by 0.5, 5, and 10 percent, respectively. The potential endogeneity problem is carefully dealt with using instrumental variables and propensity score matching.Citation
Piermartini, Roberta, and Linda Rousová. 2013. "The Sky Is Not Flat: How Discriminatory Is the Access to International Air Services?" American Economic Journal: Economic Policy, 5 (3): 287–319. DOI: 10.1257/pol.5.3.287Additional Materials
JEL Classification
- F13 Trade Policy; International Trade Organizations
- L51 Economics of Regulation
- L93 Air Transportation
- L98 Industry Studies: Utilities and Transportation: Government Policy
- R41 Transportation: Demand, Supply, and Congestion; Safety and Accidents; Transportation Noise
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