COMMON SUBCONTRACTING AND AIRLINE PRICES

• 成果类型: Article
• 署名作者: Aryal, Gaurab; Campbell, Dennis J.; Ciliberto, Federico; Khmelnitskaya, Ekaterina A.
• 署名单位: Washington University (WUSTL); University of Virginia; Leibniz Association; DIW Berlin - Deutsches Institut fur Wirtschaftsforschung; Center for Economic & Policy Research (CEPR); University of British Columbia
• 刊物名称: REVIEW OF ECONOMICS AND STATISTICS
• ISSN/ISSBN: 0034-6535
• DOI: 10.1162/rest_a_01420
• 发表日期: 2026
• 关键词: multimarket contact; vertical integration; competition evidence; INFORMATION; collusion; mergers

摘要

In the U.S. airline industry, independent regional airlines fly passengers on behalf of several national airlines across different markets, giving rise to common subcontracting. On the one hand, we find that subcontracting is associated with lower prices, consistent with the notion that regional airlines tend to fly passengers at lower costs than major airlines. On the other hand, we find that common subcontracting is associated with higher prices. These two countervailing effects suggest that the growth of regional airlines can have anticompetitive implications for the industry.