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Since airline reservation requests are often made by city-pair (such as show me flights from Chicago to Düsseldorf ) an airline that can codeshare with another airline for a variety of routes might be able to be listed as indeed offering a Chicago–Düsseldorf flight. The passenger is advised however that airline no. 1 operates the flight from say Chicago to Amsterdam and airline no. 2 operates the continuing flight (on a different airplane sometimes from another terminal) to Düsseldorf. Thus the primary rationale for code sharing is to expand one s service offerings in city-pair terms to increase sales.

In recognition of the essential national economic role of a healthy aviation system Congress authorized partial compensation of up to $5 billion in cash subject to review by the U.S. Department of Transportation and up to $10 billion in loan guarantees subject to review by a newly created Air Transportation Stabilization Board (ATSB). The applications to DOT for reimbursements were subjected to rigorous multi-year reviews not only by DOT program personnel but also by the Government Accountability Office 45 and the DOT Inspector General. 46 47

Computers also allow airlines to predict with some accuracy how many passengers will actually fly after making a reservation to fly. This allows airlines to overbook their flights enough to fill the aircraft while accounting for no-shows but not enough (in most cases) to force paying passengers off the aircraft for lack of seats stimulative pricing for low demand flights coupled with overbooking on high demand flights can help reduce this figure. This is especially crucial during tough economic times as airlines undertake massive cuts to ticket prices to retain demand. 64

The pattern of ownership has been privatized in the recent years that is the ownership has gradually changed from governments to private and individual sectors or organizations. This occurs as regulators permit greater freedom and non-government ownership in steps that are usually decades apart. This pattern is not seen for all airlines in all regions. 86


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