[jimworcs]

Regulation = Government Run is simply not true.

No regulation is anarchy. It is interesting that the airlines are huge advocates of the free market, except when the market works. Delta was so bad that it went bankrupt. That is how the market works. If you abuse your customers and your monopoly power, the consumers let you know you are not good enough.

Instead of allowing the airline to fail, which is what the market dictated, the airline instead went running to the government to protect it. The airline then sheltered under government protection and was allowed to walk away from it's obligations. Not only that, they then asked the government to allow them to build an even bigger control of the market and with the collusion and protection of government were allowed to emerge from bankruptcy having walked away from their obligations to staff, customers and suppliers. What they want is the big bad government to protect them when the market dictates they fail, but complain that the government is bad when it tries to regulate them. That is having your cake and eating it. They get away with that by bribing politicians.

Justme, the fortress hubs fit perfectly your definition of a monopoly. Do you know why they are called "fortress hubs"? The whole point of the strategy of building a dominant position at a "fortress" hub, pioneered by Delta at Atlanta is exactly to act as a barrier to entry. The fig leaf of competition of smaller airlines competing at the margins doesn't come close to challenging the might of Delta at ATL or AA in Dallas for example.

Then we come to competition. US airlines run to the government and demand protection as soon as anyone tries to compete with them. All of the legacies have filed briefs with the US government to block foreign ownership of US airlines and entry of foreign owned companies in the US domestic market. Why? What is the justification? Foreign companies can own any other kind of industry in the US and sell their products and servcies in the US. Why not airlines? What are they afraid of?

The EU has been offering US airlines free access to their domestic market for years in return for free access to the US market. The DOT wants to grant it. Why oppose it? The EU is the largest single market in the world for airline travel. The reason they oppose it, is they are terrified of competition. It is nonsense to suggest that the US airline industry is competitive. It is managed and controlled by monolithic airlines which collude to generate huge cashflows to senior management and stock holders, without paying significant corporation taxes, by generating losses which offset the profits. Someone needs to wake up and smell the coffee.

I have never argued for regulation which sets prices or even standards of service. I am perfectly content to let the market do this. I think regulation involves the following:

1. The protection of airlines from state consumer laws to be dropped.
2. The protectionof airlines from foreign competition to be dropped (happy for this to be bi-lateral to make it fair).
3. The protection of airlines from foreign ownership to be dropped (happy for this to be bi-leteral to make it fair).
4. The exemption of airlines from anti-trust regulations to be dropped
5. No airline should be allowed to file Chapter 11. If they fail, they should be permitted to fail and let the market work.
6. Normal monopoly powers to be applied. I would argue that no airline should be allowed to operate more than 25% of the slots at any airport.

Do you notice something about this list? It is NOT a call for huge volumes of new regulations. On the contrary, it is predominantly a call for the REMOVAL of exemptions and protections. Here is the irony.. I am calling for less regulation overall, NOT more. However, it should be in such a way that there are basic consumer rights and the MARKET should be allowed to work. I am calling for the market to be allowed to work.... it is apple pie and the American way. I can't imagine why any good American would oppose it.