The Airline industry provides a very unique service to its customers. It transports people with a high level of convenience and efficiency that cannot not be provided by any other industry or substitute.
The Division administers the Essential Air Service EAS program, which guarantees that hundreds of small communities throughout the country receive air service to connect them to the National air transportation system.
This involves a determination as to how many flights should be provided at the community, the type aircraft to be used, the carrier that should provide the service, and the level of subsidy that the Federal Government will pay the air carrier providing the community's air service.
Division analysts negotiate the subsidy need Avaitionindustry analysis each applicant carrier before recommending to Avaitionindustry analysis decision makers which carrier should be selected for the EAS subsidized service.
The Division also administers the Department's responsibility for air carrier access to certain airports where airline operations are limited. Certain airports in the United States are so congested that the U.
Government controls not only the number of take-offs and landings slots that can operated each day, but also the number of flights that can be operated each hour at the airport. For the most, part the Federal Aviation Administration is responsible for distribution of the available slots at these airports.
Exemptions from the slot restrictions to provide additional access to the slot-controlled airports are the responsibility of the Department of Transportation.
The Essential Air Service and slot allocation responsibilities involve considerable contact with Capitol Hill and the Federal Aviation Administration, as well as numerous industry organizations. In addition, the Division is responsible for establishing the rates that the U.
Postal Service pays airlines to carry bypass mail within the State of Alaska. This function requires analysis of detailed revenue, costing, and traffic data and close coordination and interaction with the U. The financial assistance available under the program complements the subsidy support provided under the Essential Air Service program, extending to such areas as revenue guarantees, marketing support, assistance with airline start-up costs, and studies.
Competition and Policy Analysis Division The Competition and Policy Analysis Division, through its advisory and statutory responsibilities, enables the Office of the Secretary to meet its responsibilities to exercise independent competition authority over the airline industry.
It is responsible for providing short- medium, and long-term views of the U. The Division monitors fundamental changes in the industry, analyzes industry trends, and evaluates policy options on a wide range of issues.
It provides short- medium- and long-term views of the U. These studies involve the analysis of historical data as well as the development and use of forecasting models to project the competitive and structural effects of changes on airline services and fares from mergers, alliances, code sharing and other cooperative arrangements among airlines, as well as bankruptcies.
In addition, the Division conducts studies of industry trends and developments relevant to the Department's industry oversight responsibilities.
These reports, studies, and analyses are the bases on which the Office develops its recommendations to the Assistant Secretary and the Secretary on airline domestic and international economic issues as well as speeches and congressional testimony by Department officials.
The Division also provides extensive analytical support and advice to Department decision makers with respect to specific cases and matters before the Department, including airline mergers and alliances, selection of U.
The analytical and advisory functions of the Division frequently involve interaction with Capitol Hill, other U. Government agencies, including the Departments of Justice, State, and Commerce, and the transportation and competition authorities of foreign governments.
Air Carrier Fitness Division The Air Carrier Fitness Division analyzes and evaluates all applications for new economic authority to determine if the airline applicant is "fit, willing, and able" to conduct commercial airline operations and that the applicants are U.
This involves analysis of the applicant's managerial capabilities and experience, the financial resources available for the proposed operations, its service plan, and the ability of the management personnel to comply with U.
The Division also monitors on a regular basis the operations and financial conditions of all licensed U.[tags: Aviation Airline Industry Analysis] Free Essays words ( pages) The aviation industry is at boom, where growth ranged between per cent.
The growth in aviation has been possible because of liberal policies in civil aviation, robust growth in tourism and exports.
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