Friday, July 24, 2009

Why is the U.S. Airline System Dysfunctional?

The Centre for Asia Pacific Aviation has a new reflection up on the dysfunctionality of the U.S. airline system.  See Ron Kuhlmann, Why is the U.S. Airline System Dysfunctional?, Centre for Asia Pacific Aviation (July 24, 2009) (available here).  The lead-in to the piece states:

This past week has revealed continuing poor results for the majors and the American carriers are announcing still more cuts and dire predictions. This current crisis, with its plummeting demand, overlapped the previous crisis, fuel cost, creating an environment in which the airlines were set upon from all directions. In response to high fuel, the US carriers were the most aggressive in reducing capacity and there was some hope that they would be rewarded for that effort. So far? Not so much.

http://lawprofessors.typepad.com/aviation/2009/07/why-is-the-us-airline-system-dysfunctional.html

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