Abstract
In the 1970s, Airbus developed into a serious rival to U.S. aircraft manufacturers, especially Boeing. Early on, accusations arose that Airbus was receiving massive political support. We want to investigate this thesis empirically and first specify what is actually meant by a “political sale” (of wide-body aircraft). We have collected the variables necessary for the subsequent analysis in a ...
Abstract
In the 1970s, Airbus developed into a serious rival to U.S. aircraft manufacturers, especially Boeing. Early on, accusations arose that Airbus was receiving massive political support. We want to investigate this thesis empirically and first specify what is actually meant by a “political sale” (of wide-body aircraft). We have collected the variables necessary for the subsequent analysis in a database that includes (1) all 2,215 wide-body aircraft delivered by Airbus, Boeing, Lockheed, and McDonnell Douglas between 1969 and 1989, (2) their first-hand customers, and (3) political characteristics of their countries of origin. In this paper, we present the database and results of a preliminary analysis. Based on simple univariate test procedures, we conclude that wide-body Airbus (or American) aircraft were indeed more likely to be sold to government (or private) customers. In addition, airlines were more likely to choose Airbus (or American wide-bodies) the stronger their foreign trade relations tended to be with the member states of the Airbus consortium (or the USA). Insofar, we find evidence for political sales not only for Airbus, but its American competitors as well.
More literature (via CORE)