Some economic lessons to learn from airline industry inconsistency on competition and subsidies – AEI – American Enterprise Institute: Freedom, Opportunity, Enterprise

Below, I’ll try to sort out what I think are some obvious inconsistencies about competition and government subsidies among US airlines and airplane manufacturers. The Venn diagrams illustrating those inconsistencies graphically appear above.
Item 1: From the New York Times article “Open-Skies Agreements Challenged” (2/6/2015):
For more than two decades, domestic airlines and successive administrations have pushed for, and achieved, broad international agreements that have fostered greater competition, lower airfares and more flights to hundreds of destinations like Tokyo, Beijing and Rio de Janeiro.
But now, with the rise of Persian Gulf airlines and other nimble foreign carriers, those pacts, called open-skies agreements, are under attack from an unlikely alliance of domestic airlines and unions. The chief executives of American Airlines, Delta Air Lines and United Airlines recently joined together to quietly lobby the Obama administration to restrict access by fast-growing rivals based in the Persian Gulf. They cited unfair competition from the

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