AIR TRANSPORT: A CASE STUDY IN INTERNATIONAL REGULATION

Abstract

After reviewing the present regulations relating to scheduled air services such as bilateral agreements between states, airlines or IATA and their economic consequences and of non-scheduled services it is suggested that the latter should be freed from artificial conditions and be included in bilateral agreements with a limit to total capacity but no control of tariffs. It is also recommended that IATA tariff conferences should be required to publish the economic justification for fares.