Indian airlines

Indian airlines

Production function of Indian airlines

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Differentiate the production function in short run & long run for the Indian airlines. How does rise in ATF price affect the expansion path of the domestic airlines in India?
What were the measures taken by Airlines in India for combatting the effect of rising fuel prices? Do you think that such cost measures alone would insulate the Aviation industry from the declining revenue that they are facing?

Indian airlines

What the economic principles involved in the so-called ‘hybrid model’? Suggest an alternative model , which you think would be a better solution to the problem at hand. Describe your model , highlighting the economic rationale behind it?

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