Applied Transport Economics: Policy, Management & Decision by Stuart Cole

By Stuart Cole

* totally up-to-date 3rd variation of a longtime delivery textbook

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The major ‘conventional’ airlines in the transatlantic market from Great Britain to the USA – British Airways, United, Delta, Virgin and American Airlines – have all tried to retain their share of the highly elastic tourist market. 2 Single transatlantic fares 1950–2004 Year Route/airline 1950 1960 1970 1980 1997 London/New York BOAC London/New York BOAC London/New York BOAC Gatwick/Miami Laker London/New York BA/ Virgin/AA (average) London/New York 2004 Quoted fare then 125 91 87 50 165 110–250 Equivalent cost 2004 prices* 1549 774 497 82 196 180 *Adjusted for inflation Sources: American Airlines, Virgin Atlantic Airways, British Airways.

The specialist parcel carries, eg TNT/TPG, also face an overnight demand peak at operating hubs with a 2200–0600 operating peak for equipment and trucks. 4. There is a cost implication – if, for example, a vehicle or train is used all day, costs are spread over 18 hours. With a peak-period-only operation, the costs must be covered in that period, for example four hours or two fare-earning journeys. The same principle applies to seasonal peaks. Peak services can therefore be loss making if the price charged is not enough to cover the additional costs.

Includes commuter and tourist coaches. 3. Unrecorded prior to 1996. 7 Main mode of travel to work1 to main job by area: autumn 2001 Area of work place Central Rest of Outer All London inner London London % London % % % Car and van 12 Motorbike, 2 moped, scooter Bicycle 2 Bus and 9 coach National rail 40 Underground 32 Walk 4 Total2 100 Area of residence Great Inner Outer All Britain London London London % % % % 38 2 66 1 41 2 70 1 25 2 52 1 42 1 3 13 2 11 2 11 3 8 4 17 2 10 2 12 16 17 11 100 4 4 10 100 19 17 8 100 4 3 11 100 12 27 12 100 13 13 8 100 13 18 10 100 Source: Labour Force Survey, Office of National Statistics Notes: 1.

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