CRA economists advised counsel to Virgin America throughout the DOJ review of its acquisition by Alaska Airlines. The DOJ approved the merger requiring some restrictions on the ongoing code share relationship between Alaska Airlines and American Airlines. Code sharing allows partner airlines to sell seats on each other’s flights.
Merger simulation in second-score auctions: A nested logit model
In a recent Economics Letters article, CRA’s Martino De Stefano and Serge Moresi show how to improve the second-score auction model that is often used to...