Open Skies over the Middle East
The dynamism of air traffic markets in the Middle East obscures the persistence of restrictions on international competition. But how important are such restrictions for passenger traffic? This longer paper by the same title that this Quick Note is...
| Main Authors: | , , |
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| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2015
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2014/07/20145310/open-skies-over-middle-east http://hdl.handle.net/10986/22600 |
| Summary: | The dynamism of air traffic markets in
the Middle East obscures the persistence of restrictions on
international competition. But how important are such
restrictions for passenger traffic? This longer paper by the
same title that this Quick Note is based on uses detailed
data on worldwide passenger aviation to estimate the effect
of air transport policy on international air traffic2. The
policy variable is a quantitative measure of the commitments
under international agreements. The paper analyzes, and for
the first time, not only bilateral agreements, but also
plurilateral agreements such as the one between Arab states.
The analysis finds that more liberal policy is associated
with greater passenger traffic between countries. Higher
traffic levels appear to be driven primarily by larger
numbers of city pairs being served, rather than by more
passengers traveling along given routes. To demonstrate the
quantitative implication of the estimates, two
liberalization scenarios in the Middle East are evaluated. |
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