Labor’s assistant competition minister Andrew Leigh says new analysis shows just how significantly airfares fall when more airlines compete against each other, six months after the government blocked Qatar Airways from adding international flights into Australia.
Amid concerns about the Qantas Airways-Virgin duopoly in the domestic market forcing travellers to pay higher airfares, Dr Leigh said adding airlines to a route “drives down prices”.
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John Kehoe is economics editor at Parliament House, Canberra. He writes on economics, politics and business. John was Washington correspondent covering Donald Trump’s first election. He joined the Financial Review in 2008 from Treasury. Connect with John on Twitter. Email John at jkehoe@afr.com
Ayesha de Kretser is a senior reporter with The Australian Financial Review covering the aviation and tourism sectors. She has previously reported on banking, mining and commodity markets. Connect with Ayesha on Twitter. Email Ayesha at ayesha.dekretser@afr.com.au
