NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH
loading...

Endogenous and Selective Service Choices After Airline Mergers

Sophia Ying Li, Joe Mazur, Yongjoon Park, James W. Roberts, Andrew Sweeting, Jun Zhang

NBER Working Paper No. 24214
Issued in January 2018
NBER Program(s):Industrial Organization Program

We estimate a model of service choice and price competition in airline markets, allowing for the carriers that provide nonstop service to be a selected subset of the carriers competing in the market. Our model can be estimated without an excessive computational burden and we use the estimated model to illustrate the effects of selection on equilibrium market structure and to show how accounting for selection can change predictions about post-merger market power and repositioning, in ways that are consistent with what has been observed after actual mergers, and possible merger remedies.

download in pdf format
   (750 K)

email paper

Machine-readable bibliographic record - MARC, RIS, BibTeX

Document Object Identifier (DOI): 10.3386/w24214

Users who downloaded this paper also downloaded* these:
Card, Cardoso, Heining, and Kline w22850 Firms and Labor Market Inequality: Evidence and Some Theory
Donohue, Aneja, and Weber w23510 Right-to-Carry Laws and Violent Crime: A Comprehensive Assessment Using Panel Data and a State-Level Synthetic Control Analysis
Lachowska, Mas, and Woodbury w24217 Sources of Displaced Workers’ Long-Term Earnings Losses
Saffer, Dench, Dave, and Grossman w24212 E-cigarettes and Adult Smoking
Justiniano, Primiceri, and Tambalotti w17071 Is there a trade-off between inflation and output stabilization?
 
Publications
Activities
Meetings
NBER Videos
Themes
Data
People
About

National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us