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The effect of airport efficiency on air traffic, using DEA and multilateral resistance terms gravity models

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  • Jo, Ah-Hyun
  • Chang, Young-Tae

Abstract

This study evaluates the bias-corrected airport efficiency by employing a slacks-based measurement-data envelopment analysis model with a bootstrapping technique. The impacts of airport efficiency on bilateral passenger traffic and freight volume are then assessed by developing a novel robust gravity model incorporating multilateral resistance (MR) terms and the Poisson pseudo maximum likelihood (PPML) method to address heteroscedasticity. We collected air route data using Incheon airport with a sample of 50 airports in 28 countries for 2006–2015. The results from all the applied models revealed a significant and positive effect of airport efficiency on passenger traffic and freight volume.

Suggested Citation

  • Jo, Ah-Hyun & Chang, Young-Tae, 2023. "The effect of airport efficiency on air traffic, using DEA and multilateral resistance terms gravity models," Journal of Air Transport Management, Elsevier, vol. 108(C).
    • Handle: RePEc:eee:jaitra:v:108:y:2023:i:c:s0969699723000078
    DOI: 10.1016/j.jairtraman.2023.102364
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