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dc.contributor.advisorAmedeo R. Odoni.en_US
dc.contributor.authorYamanaka, Shiro, 1975-en_US
dc.contributor.otherMassachusetts Institute of Technology. Operations Research Center.en_US
dc.coverage.spatialn-us--- e------en_US
dc.date.accessioned2006-02-02T18:51:54Z
dc.date.available2006-02-02T18:51:54Z
dc.date.copyright2005en_US
dc.date.issued2005en_US
dc.identifier.urihttp://hdl.handle.net/1721.1/31138
dc.descriptionThesis (S.M.)--Massachusetts Institute of Technology, Dept. of Civil and Environmental Engineering; and, (S.M.)--Massachusetts Institute of Technology, Operations Research Center, 2005.en_US
dc.descriptionIncludes bibliographical references (p. 89-91).en_US
dc.description.abstractThe purpose of this thesis is to estimate the impact of infrastructure-related add-on taxes and fees on the direct cost of air travel in the United States and the European Union. Its scope includes domestic travel in the United States and both domestic and intra-EU international travel within the European Union. For the United States, we work with over 4 million passenger records from the Department of Transportation 10% Ticket Samples to conclude that the effective tax rate (ETR) on the average base fare (BF) was 15.5% in the second quarter of 2002. The incidence is much heavier on the least expensive tickets because three out of the four add-on taxes and fees are based on the passenger's itinerary and are independent of the BF. Comparative analyses indicate that the ETR was 10.9% in 1993 and 16.1% in 2004, but a large portion of the ETR increase over the years is due to a significant decline in the yields achieved by the airlines. We also show that passengers traveling on low cost carriers are expected to face a higher ETR than those traveling on traditional network airliners or the "legacy carriers". Other analyses are performed to demonstrate that there was a statistically significant decrease in the number of segments per ticket from 2002 to 2004 and that the ETR would increase by 2.2% to 2.6% as a result of the new security fee policy proposed by the Bush Administration in 2005. Turning to the European side, our preliminary estimation shows that the average ETR was 12.5% in 2004 based on an analysis of over 300,000 ticket records provided by a Global Distribution System company.en_US
dc.description.abstract(cont.) However, the ETR, in fact, varies greatly among the 15 European Union countries investigated, ranging from 6.6% to 24.4%, because of the complex and diverse taxation rules in place in Europe and because of the differences in average ticket prices. Finally, a simple analysis shows that the actual European ETR may be significantly higher than the ETR in the United States if the differences in charging schemes for the cost of air transportation infrastructure are taken into consideration.en_US
dc.description.statementofresponsibilityby Shiro Yamanaka.en_US
dc.format.extent104 p.en_US
dc.format.extent5123106 bytes
dc.format.extent5135496 bytes
dc.format.mimetypeapplication/pdf
dc.format.mimetypeapplication/pdf
dc.language.isoengen_US
dc.publisherMassachusetts Institute of Technologyen_US
dc.rightsM.I.T. theses are protected by copyright. They may be viewed from this source for any purpose, but reproduction or distribution in any format is prohibited without written permission. See provided URL for inquiries about permission.en_US
dc.rights.urihttp://dspace.mit.edu/handle/1721.1/7582
dc.subjectCivil and Environmental Engineering.en_US
dc.subjectOperations Research Center.en_US
dc.titleThe impact of infrastructure-related taxes and fees on airline fares in the US and the European Unionen_US
dc.typeThesisen_US
dc.description.degreeS.M.en_US
dc.contributor.departmentMassachusetts Institute of Technology. Department of Civil and Environmental Engineeringen_US
dc.contributor.departmentMassachusetts Institute of Technology. Operations Research Centeren_US
dc.identifier.oclc61184401en_US


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