Australian Airports: The Case for Privatisation

Abstract

Privatisation of the airports of the Federal Airports Corportation has been supported by both sides of Parliament. After reviewing the Labor party policy which established airport privatisation on the national agenda, this Paper examines the various changes that have been introduced into that policy and discusses their effects in terms of efficiency and price benefits and disbenefits together with price maximisation. It concludes that the policy has been devaluated over time and that the final outcome cannot deliver the tangible benefits that were originally promised.