Slot Allocation at Congested Airports and its Impacts on Airline Market Power
Alessandro V. M. Oliveira
Aeronautics Institute of Technology
February 28, 2010
Revista de Literatura dos Transportes, Vol. 4, No. 2, pp. 5-49, 2010
This study aims to analyze the impact of the dominance of essential facilities on market power, and thus on the generation of competitive advantage for the firms holding them. By using a conduct parameter framework, I model the behavior of oligopolistic firms under conditions of product differentiation - on the demand side - and a range of patterns of strategic interaction - on the supply side. Through structural estimation it was empirically investigated the emergence of market power due to the dominance or concentration of departure and landing slots at two major airports of Brazil.
Note: Downloadable document is in Portuguese.
Number of Pages in PDF File: 44
Keywords: industrial organization, regulation, essential facilities, air transportation
JEL Classification: L9Accepted Paper Series
Date posted: February 28, 2010
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