implementation of an agreement to create open aviation between the
U.S. and the European Union will increase the number of
transatlantic travelers by as many as 26 million over the first
five years, lower transatlantic fares, create as many as 81,000
jobs in the U.S. and E.U. and provide up to $16 billion in economic
benefits, according to a study done for the European Commission.
Booz Allen Hamilton's
London office completed the study in January, with the help of Erin
von den Steinen, Ingomar Joerss, Pablo Mendes de Leon and the
Alexandria, Va.-based Campbell Hill Aviation Group.
regarding a deal's impact on passenger and cargo services appear to
have been a significant part of the reason the E.U. agreed to an
aviation deal with the U.S. in March, even though the E.U. didn't
get several of the things it wanted; the E.U. cited the study's
conclusions in its press releases announcing the
E.U.-U.S. services will face additional competition and pressure on
costs," the study said. "Moreover, the ability to restructure
across national borders and to organize deeper cooperative
alliances gives the potential for significant gains in productivity
and resulting cost savings. These factors are also expected to lead
to lower fares, increased traffic, additional jobs and further
conclusions on the increase in the number of passengers were based
on the demonstrated impacts of existing open-skies agreements
between the U.S. and individual countries in the E.U.