Deregulation induced volatility of airport traffic

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Abstract
Airline deregulation is spreading worldwide and has important consequences for the planning, design, and management of airports. One important effect is that the overall traffic at an airport—and by extension its revenues—is much more volatile in a liberal environment. This is demonstrated by analysis of the US experience over the last 25 years. The increased risk thus associated with airport projects emphasizes the need to discard traditional, static master planning in favor of dynamic strategic planning.

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