Internet Penetration and Capacity Utilization in the US Airline Industry

• 成果类型: Article
• 署名作者: Dana, James D., Jr.; Orlov, Eugene
• 署名单位: Northeastern University
• 刊物名称: AMERICAN ECONOMIC JOURNAL-MICROECONOMICS
• ISSN/ISSBN: 1945-7669
• DOI: 10.1257/mic.6.4.106
• 发表日期: 2014
• 页码: 106-137
• 关键词: price dispersion; Demand uncertainty; empirical-analysis; MARKETS; performance; COMPETITION; computers; commerce

摘要

Airline capacity utilization increased dramatically between 1993 and 2007, after staying fairly level following deregulation in 1978. We argue that consumers' use of the Internet to investigate and purchase airline tickets reduces market frictions and allows airlines to meet demand with less capacity and higher load factors. We find that differences in the rate of change of metropolitan-area Internet penetration are positively correlated with differences in the rate of change of airlines' airport-pair load factors. Consistent with our explanation, this correlation is greater on flights in more competitive markets and on flights with fewer total passengers