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Economic Commentary

Competition, Concentration, and Fares in the U.S. Airline Industry

The current performance of the U.S. airline industry with regard to safety, fares, and service has been a topic of widespread concern among policymakers and the public. One aspect of this concern is the relationship between competition, concentration, and air fares. Competition is required to achieve and preserve the full benefits of deregulation, particularly if fares are to be set as low as possible.

The views authors express in Economic Commentary are theirs and not necessarily those of the Federal Reserve Bank of Cleveland or the Board of Governors of the Federal Reserve System. The series editor is Tasia Hane. This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License. This paper and its data are subject to revision; please visit clevelandfed.org for updates.

Suggested Citation

Bauer, Paul. 1987. “Competition, Concentration, and Fares in the U.S. Airline Industry.” Federal Reserve Bank of Cleveland, Economic Commentary 9/15/1987.

This work by Federal Reserve Bank of Cleveland is licensed under Creative Commons Attribution-NonCommercial 4.0 International