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Capacity regulation in the Brazilian air transportation: considerations on the behavior of airlines in a deregulated market and the frictions that emerge from the public-private interface

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Author(s): Capacity regulation in the Brazilian air transportation: considerations on the behavior of airlines in a deregulated market and the frictions that emerge from the public-private interfaceAlessandro V. M. Oliveira

Journal: Journal of Transport Literature
ISSN 2238-1031

Volume: 1;
Issue: 2;
Start page: 22;
Date: 2007;
Original page

Keywords: economic deregulation | air blackout | supply | flight frequencies | airports

ABSTRACT
This study aims to investigate how air transportation supply in Brazil is formed and regulated. The main objective here is to present evidence regarding the impacts that public policies, namely the economic deregulation of the 1990s, had on the industry. To this end, I performed a case study using capacity data from scheduled domestic airlines in the period between 1999 and 2006 as a way to analyze recent competitive movements by carriers. A study of some indicators of supply concentration and quality of spatial coverage of air transportation over the country was conducted. Some considerations on the economic causes of the episodes of "air blackout" of 2006 and 2007 are also presented.
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