Deregulation of the airlines, in 1978, led to expectations that the number of carriers would increase. What has been the actual result of deregulation regarding the number of carriers in the market?
A) The numbers of carriers did increase initially but has remained steady of late.
B) The numbers of carriers did initially increase and the numbers continue to grow.
C) The numbers of carriers initially decreased but increased by 1994.
D) The numbers of carriers initially decreased and have continued to decrease.

Question

Quizplus · Accepted Answer

The deregulation of the airlines in 1978 initially led to an increase in the number of carriers due to lower barriers to entry and increased competition. However, over time, the market has seen consolidation through mergers and acquisitions, leading to a steadier number of carriers.

Deregulation of the Airlines, in 1978, Led to Expectations That