There is No such Thing as a Free Open Sky: Financial Markets and the Struggle over European Competences in International Air Transport

Abstract

Aviation is a prime example of a policy area where the clash over supranational regulatory responsibilities had pronounced economic repercussions. In this article, we examine the economic effects of the European Commission's struggle to obtain competences in international air transport. Stock market reactions to key events in the political conflict between 1995 and 2004 unravel whether investor beliefs about the distribution of power in the EU follow the basic conjectures of neofunctionalism, intergovernmentalism or institutionalism. The event studies show that particularly judicial proceedings and the involvement of the ECJ send credible integration signals to financial markets. This supports the hypothesis that investors consider the subtleties of the EU's decision-making apparatus carefully and only react to developments that definitively alter the political regime and thus also the market situation. These findings are in line with an institutionalist interpretation of a reform that has radically changed the international aviation regime.

Firm value in the airline industry: perspectives on the impact of sustainability and Covid-19

“…Another important issue is academic researchers may utilise different models to accounts for risk factors and potentially to figure out the optimal estimation laws. Study Jeon ( 2021 ), Markoulis and Neofytou ( 2019 ), Flouris and Walker ( 2005 ), Kolaric and Schiereck ( 2016 ), Gillen and Lall ( 2003 ), Bouoiyour and Selmi ( 2018 ), Krieger and Chen ( 2015 ), Wang ( 2013 ), Rauh and Schneider ( 2013 ), Chen et al ( 2010 ), El-Gazzar et al ( 2009 ), Cam ( 2008 ), da Silva Rocha and Figueiredo Pinto ( 2006 ), Drakos ( 2004 ), Kim and Gu ( 2004 ), Goodrich ( 2002 ), Karels ( 1989 ). Topic area New method to predict share price Methods Component Analysis (PCA), two-stage (operational and stock market indicators) network data envelopment analysis process, the binomial option pricing model, Black-Scholes model, discounted cash flow (DCF) methodology, design a framework to account for acquisition and valuation risks, Multiple Objective Linear Programming (MOLP) optimisation model, integrated approach based on genetic fuzzy systems (GFS) and artificial neural networks (ANN), contingent claims valuation model, the real options framework to develop a multi-stage investment in the aerospace maintenance, repair, and overhaul (MRO) industry Main finding It is claimed that introducing new model can help industry practitioners in figuring-out the profitability potentials.…”

“…Jeon ( 2021 ), Markoulis and Neofytou ( 2019 ), Flouris and Walker ( 2005 ), Kolaric and Schiereck ( 2016 ), Gillen and Lall ( 2003 ), Bouoiyour and Selmi ( 2018 ), Krieger and Chen ( 2015 ), Wang ( 2013 ), Rauh and Schneider ( 2013 ), Chen et al ( 2010 ), El-Gazzar et al ( 2009 ), Cam ( 2008 ), da Silva Rocha and Figueiredo Pinto ( 2006 ), Drakos ( 2004 ), Kim and Gu ( 2004 ), Goodrich ( 2002 ), Karels ( 1989 ).…”

“…Jeon (2021), Markoulis and Neofytou (2019), Flouris and Walker (2005), Kolaric and Schiereck (2016), Gillen and Lall (2003), Bouoiyour and Selmi (2018), Krieger and Chen (2015), , Rauh and Schneider (2013), ), El-Gazzar et al (2009, Cam (2008), da Silva Rocha andFigueiredo Pinto (2006), Drakos (2004), Kim and Gu (2004), Goodrich (2002), Karels (1989). Topic area New method to predict share price Second, doing investigations on potential value creation of each project are necessary part for all major investment decisions.…”