Demand for Air Travel

Network Effect of Air-Travel Demand (PRELIMINARY)

Flight frequency is an important determinant of air-travel demand, but must be sustained by adequate demand, implying a feedback effect. Frequencies of link-sharing routes are related, implying a peer effect. The paper examines the effects, using a model of airline network where flight frequency is endogenized with passenger flow. An estimation strategy is proposed to help correct the possible ...

Network Effects of Air-travel Demand

As demand increases, airline carriers often increase flight frequencies to meet the larger flow of passengers in their networks, which reduces passengers’ schedule delays and attracts more demand. Focusing on the “network effects”, this paper develops and estimates a structural model of the U.S. airline industry. Compared with previous studies, the model implies higher cost estimates, which see...

Determinants of air travel demand in Middle Income Countries

The aim of this paper is to calculate the effects of air travel demand determinants in Middle Income Countries (MICs). Through static and dynamic panel data models from 32 countries during the period from 2002 to 2008, we found that the income elasticity is the most important determinant and that it is slightly higher than one. Income growth multiplied by income elasticity accounts for 75 perce...

A Study of Factors Influencing Demand For Travel to Iran

In this paper the factors having influence on travel demand to Iran are paper explored. The hypothesis of the research specifies the variable of “domestic upheavals and insecurity” as the most significant obstacle to expansion of the demand for travel to Iran. To test the above hypothesis, first several demand models that have been proposed to study demand for tourism in different countries, ar...

Special Considerations in Air Travel for Pregnant Women