New Guideline Designed to Eliminate Unfair Competition

THE JOURNAL RECORD, April 7, 1998 | Go to article overview

New Guideline Designed to Eliminate Unfair Competition


WASHINGTON (Bloomberg) -- Major U.S. airlines could be fined as much as $1,100 a day per violation for adding seat capacity and lowering fares with the intention of driving smaller carriers out of markets where they compete, the U.S. Department of Transportation said Monday.

Several airlines, including UAL's United Airlines and Northwest Airlines, have been accused of hard-ball competitive tactics to drive new entrants such as Frontier Airlines and Spirit Airlines out of some markets. The major carriers respond that matching discount- carrier fares is a legitimate business strategy.

"Consumers deserve a pro-competitive standard that helps ensure affordable air fares and accessible service," Transportation Secretary Rodney Slater said as he announced new guidelines for airline competition. "We must preserve vigorous competition and prohibit unfair exclusionary practices meant solely to eliminate that competition." Large airlines had warned the DOT against moving ahead with the competition policy, arguing that it threatens to undo the 1978 airline deregulation act. "This will have a chilling effect on how we compete," said Chris Chiames, a spokesman for AMR's American Airlines. DOT General Counsel Nancy McFadden said that under federal statute, the DOT may penalize carriers $1,100 a day per violation. It's unclear whether the airlines would be fined per flight, per route, or per passenger. Slater said the size of the fines ultimately "will depend on the severity of the actions." Under the guidelines, a major carrier could be penalized for unfair practices if it slashes fares or adds new capacity that causes it to lose more revenue than the new carrier could have siphoned off. …

The rest of this article is only available to active members of Questia

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

New Guideline Designed to Eliminate Unfair Competition
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Author Advanced search

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.