Global Airlines: Competition in a Transnational Industry, Second Edition

A very good text amplifying many of the points highlighted in Chapter 2 is that by Doganis (1991). This book is now in its second edition, the original version having appeared as long ago as 1985. Many recent developments are not included, but its discussion of factors affecting demand, costs, fares, financial performance, etc. remain highly relevant to problems facing airlines today. Another good text which covers much ground on the basic economics of airline operation is that by Holloway (1997).
There is now quite an extensive literature on the effects of deregulation, much of which is concisely summarized in Williams (1993). Accounts of experience with deregulation in the United States, Canada and Australia and some discussion of prospects for liberalization in Europe are given in a book edited by Button (1991). For a critique of deregulation, see Dempsey and Goetz (1992) who challenge the view that US deregulation has been a success, in a book that contains much interesting material on the fortunes of particular airlines. Three reports from the Civil Aviation Authority (1993b, 1994 and 1998) provide valuable commentaries on the prospects for competition both on short routes within Europe and on long haul routes to/from Europe. Finally, a book by Morrison and Winston (1995) deals with the economics of airline competition in some depth, drawing upon the results of some detailed econometric analyses.
Some clear explanations of freedoms of the air and how they are traded in bilateral air service agreements...