The Economics of airport development

The Economics of airport development

Anybody who has followed the debate on the UK’s new runway over the last few years will be all too aware that there is no free market when it comes to the development of airport capacity. The space considerations and the potential environmental and social impact are so significant as to ensure that decisions of this kind will always be the prerogative of government. But despite their central decision-making role, governments should not neglect the importance of the private investor test in deciding when airport investment is really justified.

THE ECONOMICS OF AIRPORT DEVELOPMENT