Published at Monday, April 01st, 2019 - 09:09:54 AM. Type of airline. By Amalasand Horn.
The regulation itself traces its origin to 1938 when Congress adopted the Civil Aeronautics Act. Its resultant five-member Civil Aeronautics Board (CAB) formed two years later in 1940 regulated fares authorized routes awarded subsidies and approved interline agreements among other functions.
A glimpse of the future could already be had in California and Texas. Devoid of jurisdiction over local air transportation the CAB could neither exercise fare nor route authority over intrastate airlines and these carriers usually offering high-frequency single-class no-frills service at half the fares the regulated trunk airlines were forced to charge consistently recorded both profit and traffic growth.
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