{"title":"AIRPORT PRIVATIZATION COMPETITION INCLUDING DOMESTIC AIRLINE MARKETS","authors":"A. Kawasaki","doi":"10.1111/RURD.12056","DOIUrl":null,"url":null,"abstract":"This study addresses the problem of hub airport privatization in a domestic airline market, where each country has one major hub airport and multiple local airports. We find that when both countries have very small domestic airline markets, airport privatization occurs at the Nash equilibrium. However, when at least one country has a large domestic airline market, the public airport becomes an equilibrium outcome. Furthermore, depending on the number of airline markets and degree of product differentiation, an asymmetric equilibrium may appear.","PeriodicalId":39676,"journal":{"name":"Review of Urban and Regional Development Studies","volume":"29 1","pages":"2-17"},"PeriodicalIF":0.0000,"publicationDate":"2017-03-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://sci-hub-pdf.com/10.1111/RURD.12056","citationCount":"3","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Review of Urban and Regional Development Studies","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.1111/RURD.12056","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q3","JCRName":"Social Sciences","Score":null,"Total":0}
引用次数: 3
Abstract
This study addresses the problem of hub airport privatization in a domestic airline market, where each country has one major hub airport and multiple local airports. We find that when both countries have very small domestic airline markets, airport privatization occurs at the Nash equilibrium. However, when at least one country has a large domestic airline market, the public airport becomes an equilibrium outcome. Furthermore, depending on the number of airline markets and degree of product differentiation, an asymmetric equilibrium may appear.
期刊介绍:
Review of Urban & Regional Development Studies (RURDS) focuses on issues of immediate practical interest to those involved in policy formation and implementation. Articles contain rigorous empirical analysis, with many emphasizing policy relevance and the operational aspects of the academic disciplines, while others focus on theoretical and methodological issues. Interdisciplinary and international in perspective, RURDS has a wide appeal: in addition to scholars, readership includes planners, engineers and managers in government, business and development agencies worldwide.