Industry Research

NameInstructor s NameCourseDateFiscal /Monetary Policy and The Airline IndustryThe two policies I allow address are the folk 11th Security topple (TSA , 2001 ) and The vivacious Wage decreeThe September 11th Security honorarium was an added tax that was used to put in place unused security measures . However , the additional gifts were passed directly into the customer rootage and this , coupled with the disquietude of terrorism , caused a large change magnitude in demand . Employee rates dropped significantlyThe Living Wage Ordinance was introduced in many states in the US in 2004 in to correct net income equality . The airline industriousness was notoriously low . After changes were applied , less than 6 of employees were making less than 10 per hour , and 96 .7 were making downstairs 14 per hour (Zabin , 1999 . The airline industry has benefited from living wage legislation because the wage increase encouraged a decrement in the turnover rate , and a rise in work effectiveness2-how have these policies affected the growth of the industryThe security fee imposed additional be on an already essay industry and this , coupled with other scotch factors and led to the nonstarter of a number of players . However , once the initial fear of flying had died down people began to accept the additional tax as a trade off for their safety and touch off began to rise againWhilst some people believe that there whitethorn have been a knock on effect from The Living Wage Ordinance on the growth of the airline industry Reich et al . demonstrated that the decline in airport vocation was due to a general decline in economic activity , and then to the events of September 11 , 2001 , not as a result of the wage policy3-how have these policies affected the wrong of the product the industry producesThe price of tickets experienced a ingeminate hit after the September 11th attacks .

The decrease in demand caused the airlines to raise their prices to cover their ticket price and the added approachs of the Security taxes entailed that prices escalated significantlyAlthough The Living Wage Ordinance created an additional hail base for many of the airlines as their staff costs lift as a result of the legislation , it is widely accepted that cost savings were achieved elsewhere in the operation . round turnover was reduced thus reducing training and consequence costs . In addition to this staff motivation and skill was improved . The impact that this policy had upon the price of the product was indeed negligible . In California , for example , it was found that the increase costs of the policy was attributable to an increase in cost of just 1 .42 per airline passenger (Reich , 220Works CitedTransportation Security Fees , 2001 . Retrieved September 18 , 2008 , from Transportation Security Administration Web pose : HYPERLINK http /www .tsa .gov / look for /fees /passenger_fee .shtm http /www .tsa .gov /research /fees /passenger_fee .shtmZabin , C (1999 , December . Retrieved September 18 , 2008 , from Living takings at the Port of Oakland http /www .iir .berkeley...If you want to quiver a full essay, order it on our website: Ordercustompaper.com

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