Measuring Strategic Firm Interaction in Product-Quality Choices: The Case of Airline Flight Frequency

Research, Preprint OPEN
Brueckner, Jan K.; Luo, Dan;
  • Publisher: Munich: Center for Economic Studies and Ifo Institute (CESifo)
  • Subject: flight frequency | USA | reaction function | L93 | L10 | Dienstleistungsqualität | Wettbewerb | airlines, reaction function, product quality, flight frequency | product quality | airlines | Reaktionsfunktion | Schätzung | Luftverkehrsgesellschaft | Theorie
    • jel: jel:L93 | jel:L10
      ddc: ddc:330

This paper investigates strategic interaction among airlines in product-quality choices. Using an instrumental variables approach, the paper estimates flight-frequency reaction functions, which relate an airline’s frequency on a route to its own characteristics and to... View more
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