The Economic Impact of International Airline Alliances

CONTENTS

Preliminaries
Copyright, Contents, Acknowledgements, Abbreviations, Glossary, Summary

1   Introduction
1.1   The structure of the report

2   Recent trends in airline alliances
2.1   The nature of airline alliances
2.2   Growth in alliance activity
2.3   Alliances in the Asia-Pacific region
2.4   Regulation of airline alliances

3   Economics of international airlines
3.1   Supply side factors
3.2   Demand side factors
3.3   Other key factors affecting competition

4   Airline alliances and market power concerns
4.1   Barriers to entry
4.2   The nature of competition
4.3   The features of the alliance
4.4   Potential overlap in applying competition policy

5   Impact of airline alliances
5.1   Empirical evidence of the impact of alliances
5.2   A quantitative analysis of code sharing on Australian international routes

6   Concluding remarks
6.1   Areas for further research

APPENDICES

A   Alliances operated by Australian carriers

B   Fifth and sixth freedom carriers

C   A summary of recent empirical studies

D   Model specification and estimation methodology

E   City-pair routes used in the quantitative analysis

F   Data and derivation of variables

G   Detailed results of quantitative analysis

References