CONSUMER VIEWS OF THE NEED FOR GOVERNMENT INTERVENTION IN THE AIRLINE MARKET

Throughout the 1980s, policymakers debated the merits of continuing deregulation of the commercial airline industry. In this exploratory study, public opinion regarding the need for renewed government intervention is analyzed. Particular attention is given to the roles that respondent characteristics and local airline market conditions play. Opinions about industry performance and the need for government intervention are related to local market conditions and to perceptions of trends in airline safety. Findings indicate the majority of consumers favor neither government intervention in the setting of air fares nor in determining routes.