Airline Deregulation Act

E77595

The Airline Deregulation Act is a 1978 U.S. federal law that removed government control over airline fares, routes, and market entry, leading to increased competition and major restructuring of the airline industry.


Statements (47)
Predicate Object
instanceOf United States federal law
aviation law
abolishesAgencyBy 1985
affectsIndustry commercial aviation
amends Federal Aviation Act of 1958
associatedWithAdministration Carter administration
codifiedIn Title 49 of the United States Code
containsProvision Essential Air Service program
country United States
dateSigned 1978-10-24
economicPhilosophy deregulation
market liberalization
enactedBy United States Congress
establishesProgram Essential Air Service
impact greater route flexibility for airlines
increased flight frequency on popular routes
lower average airfares over time
reduced nonstop service to some small communities
jurisdiction United States federal government
leadsTo entry of new low-cost carriers
exit and bankruptcy of some established airlines
fare discounting and price competition
hub-and-spoke route systems
increased competition among airlines
major restructuring of the airline industry
longTitle An Act to amend the Federal Aviation Act of 1958, to encourage, develop, and attain an air transportation system which relies on competitive market forces to determine the quality, variety, and price of air services, and for other purposes
notableSupporter Alfred E. Kahn
phasesOutAgency Civil Aeronautics Board
policyGoal improve efficiency of air transportation
increase competition in airline industry
rely on competitive market forces
preempts most state regulation of airline rates, routes, and services
primaryPurpose deregulation of airline industry
publicLawNumber Public Law 95-504
purposeOfProgram maintain air service to small and rural communities
regulatoryAreaRetained airline safety regulation
removesGovernmentControlOver airline fares
airline routes
market entry of new airlines
safetyRegulationRetainedBy Federal Aviation Administration
sector transportation
shortTitle Airline Deregulation Act
signedBy Jimmy Carter
title Airline Deregulation Act of 1978
transfersAuthorityFrom Civil Aeronautics Board
transfersAuthorityTo market forces
yearEnacted 1978

Referenced by (4)
Subject (surface form when different) Predicate
Airline Deregulation Act ("An Act to amend the Federal Aviation Act of 1958, to encourage, develop, and attain an air transportation system which relies on competitive market forces to determine the quality, variety, and price of air services, and for other purposes")
longTitle
95th United States Congress
passedLegislation
Airline Deregulation Act
shortTitle
Airline Deregulation Act ("Airline Deregulation Act of 1978")
title

Please wait…