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Airline Efficiency in Asia Following Liberalization of International Air Transport

Governments in the Asia Pacific region have introduced policies that increasingly enhance the role of market forces in the international airline industry. While theory suggests liberalization of airline operations should promote greater efficiency in this industry, this study observes challenges fr...

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主要な著者: Muhammad Asraf, Abdullah, Mohd Satar, Nurulhuda, H Peoples, James
その他の著者: Kounis, Leo
フォーマット: 図書の章
言語:English
出版事項: Nova Science Publishers 2020
主題:
HB Economic Theory
HC Economic History and Conditions
HE Transportation and Communications
オンライン･アクセス:http://ir.unimas.my/id/eprint/31764/1/Nova%20Science%20Publishers-Airline%20liberalization.pdf
http://ir.unimas.my/id/eprint/31764/
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record_format eprints
spelling my.unimas.ir.317642020-09-14T00:12:14Z http://ir.unimas.my/id/eprint/31764/ Airline Efficiency in Asia Following Liberalization of International Air Transport Muhammad Asraf, Abdullah Mohd Satar, Nurulhuda H Peoples, James HB Economic Theory HC Economic History and Conditions HE Transportation and Communications Governments in the Asia Pacific region have introduced policies that increasingly enhance the role of market forces in the international airline industry. While theory suggests liberalization of airline operations should promote greater efficiency in this industry, this study observes challenges from stepped-up global competition has actually created a business environment that contributes to production inefficiencies. We use the stochastic frontier approach to estimate technical, allocative and cost inefficiencies for airline companies from 17 countries in the Asia Pacific region. Findings support this study’s observation on liberalization and production efficiency, as estimates show declining technical efficiency over the 9-year observation period. In addition, findings on non-labor inputs reveal at the mean these companies tend to under-utilize fuel and aircrafts. In contrast, companies in the ASEAN region slightly under-utilize workers, while companies in non-ASEAN countries over-utilize workers. We argue these findings do not support abandonment of liberalization policies, but rather reveal the importance of airline companies in this region adjusting to a more competitive global market. Nova Science Publishers Kounis, Leo 2020-01 Book Chapter PeerReviewed text en http://ir.unimas.my/id/eprint/31764/1/Nova%20Science%20Publishers-Airline%20liberalization.pdf Muhammad Asraf, Abdullah and Mohd Satar, Nurulhuda and H Peoples, James (2020) Airline Efficiency in Asia Following Liberalization of International Air Transport. In: Aviation and the Airline Industry: International Perspectives on Policies and Practices. Aircraft and Avionics Research and Technology . Nova Science Publishers. ISBN 978-1-53616-937-9
institution Universiti Malaysia Sarawak
building Centre for Academic Information Services (CAIS)
collection Institutional Repository
continent Asia
country Malaysia
content_provider Universiti Malaysia Sarawak
content_source UNIMAS Institutional Repository
url_provider http://ir.unimas.my/
language English
topic HB Economic Theory
HC Economic History and Conditions
HE Transportation and Communications
spellingShingle HB Economic Theory
HC Economic History and Conditions
HE Transportation and Communications
Muhammad Asraf, Abdullah
Mohd Satar, Nurulhuda
H Peoples, James
Airline Efficiency in Asia Following Liberalization of International Air Transport
description Governments in the Asia Pacific region have introduced policies that increasingly enhance the role of market forces in the international airline industry. While theory suggests liberalization of airline operations should promote greater efficiency in this industry, this study observes challenges from stepped-up global competition has actually created a business environment that contributes to production inefficiencies. We use the stochastic frontier approach to estimate technical, allocative and cost inefficiencies for airline companies from 17 countries in the Asia Pacific region. Findings support this study’s observation on liberalization and production efficiency, as estimates show declining technical efficiency over the 9-year observation period. In addition, findings on non-labor inputs reveal at the mean these companies tend to under-utilize fuel and aircrafts. In contrast, companies in the ASEAN region slightly under-utilize workers, while companies in non-ASEAN countries over-utilize workers. We argue these findings do not support abandonment of liberalization policies, but rather reveal the importance of airline companies in this region adjusting to a more competitive global market.
author2 Kounis, Leo
author_facet Kounis, Leo
Muhammad Asraf, Abdullah
Mohd Satar, Nurulhuda
H Peoples, James
format Book Chapter
author Muhammad Asraf, Abdullah
Mohd Satar, Nurulhuda
H Peoples, James
author_sort Muhammad Asraf, Abdullah
title Airline Efficiency in Asia Following Liberalization of International Air Transport
title_short Airline Efficiency in Asia Following Liberalization of International Air Transport
title_full Airline Efficiency in Asia Following Liberalization of International Air Transport
title_fullStr Airline Efficiency in Asia Following Liberalization of International Air Transport
title_full_unstemmed Airline Efficiency in Asia Following Liberalization of International Air Transport
title_sort airline efficiency in asia following liberalization of international air transport
publisher Nova Science Publishers
publishDate 2020
url http://ir.unimas.my/id/eprint/31764/1/Nova%20Science%20Publishers-Airline%20liberalization.pdf
http://ir.unimas.my/id/eprint/31764/
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score 13.251813

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