Question
Estimate the price elasticity of air travel demand using OLS, controlling for the year specific effects (year dummies) and the route distance (ldist and ldistsq).
Estimate the price elasticity of air travel demand using OLS, controlling for the year specific effects (year dummies) and the route distance (ldist and ldistsq). What is the estimated price elasticity of air travel demand (Interpret the sign and magnitude of the coefficient)? Based on your estimation results what is the average change in demand for air travel from year 1997 to 2000?
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Econophysics And Financial Economics An Emerging Dialogue
Authors: Franck Jovanovic, Christophe Schinckus
1st Edition
0190205032, 9780190205034
