Fare elasticities of demand for direct and indirect flights in sub-Saharan Africa. Issue 8 (4th May 2017)

• Record Type: Journal Article
• Authors: Button, Kenneth; Martini, Gianmaria; Scotti, Davide; Volta, Nicola
• Is Part Of: Applied economics letters. Volume 24:Issue 8(2017)
• Page Start: 523
• Page End: 526
• Publication Date: 2017-05-04
• Subjects: African aviation -- airline demand -- airline fare elasticities -- airline bookings; L93 -- N77 -- R41; Economics -- Periodicals; Economics, Mathematical -- Periodicals; 330
• DOI: 10.1080/13504851.2016.1208346
• Languages: English
• ISSNs: 1350-4851

Abstract

ABSTRACT: This article examines the different demands for direct and indirect flights within sub-Saharan Africa. It develops both a simple reduced form model and a more refined two equation simultaneously system to examine bookings and fares on the major air transportation corridors. Using panel data, this allows estimation of the different fare elasticities of demand for direct and indirect services between the continents' major cities as well as assessing the respective merits of the two models used.