Air Transport World

Letting go. (abolishing government ownership of airlines in Europe) (Editorial)

It is difficult to appreciate the hilarity with which most people in North America view Europe's Laocoon-like struggle to rid itself of state support of industry. The opening-act chuckles brought about by the government injections for Air France and Sabena turned into gales of laughter when Aerospatiale and Iberia--$1.3 billion!--sidled up to the government trough. Several years ago, the best minds in the European Community hammered out a formula for creation of a single market.

Obvious then and obvious now, is the need to do away with states' artificially propping up companies that can't hack competition. Let's review Econ 101: To win in compe- tition, you must build on or create an advantage; to prevent useless losses, one concedes another's advantage and adjusts. …

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