Exam (elaborations)
AS 254 Test With Complete Solutions Latest Update
- Course
- AT 254
- Institution
- Bucknell University
AS 254 Test With Complete Solutions Latest Update
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AS 254 Test 2 2024-2025 With CompleteSolutions Latest Update
Air Commerce Act 1926 (latter part of 1930s): - - many convinced of overhauling
existing legislation
- what to do with mail contracts 1941
- Pat McCarran began framing a bill for management of US aviation
- Bronson Cutting (member of Congress) killed in TWA airliner
Roosevelt doesn't like McCarran: - - Rep. Clarence F. Lea (5 provisions of Civil
Aeronautics Authority CAA)
- Roosevelt would support bill if authored by a Democrat
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,What makes a regulatory structure stable? - - satisfies an obvious need for
regulation (issue understood, public interest involved, no other alternative)
- satisfies stakeholder interests
most important commercial aviation stakeholders: - government, airlines, routine
travelers, general public
1937, government reasons to worry about airline regulation: - - DC-3's ability to
carry passengers at a profit weakened government's ability to control airline
industry
- New aircraft create safety crisis (1935-7 11 major crashes, 1936 "Ceiling Zero"
alarmed public)
1937 Commerce Department: - hosts first national safety conference
Government reiterated Civil Aeronautics Authority's comprehensive authority
over civil aviation: - "the encouragement and development of an air-
transportation system properly adapted to the present/future needs of the
foreign and domestic commerce of the US, of the Postal Service, and of the
national defense"
the Government retained absolute control over entry into the interstate airline
industry: - - no air carrier shall engage in any air transportation unless there is in
force a certificate issued by the authority authorizing such air carrier to engage in
such transportation
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, - authority shall issue a certificate...if it finds that the applicant is fit, willing, and
able to perform such transportation properly, and that such transportation is
required by public convenience/necessity
Civil Aeronautics Act 1938 - airlines got protection from competition in return for
some bearable obligations: - each certificate shall specify the terminal points and
intermediate points between which the air carrier is authorized to engage in air
transportation and such reasonable terms, conditions, and limitations as the
public interest my require
Civil Aeronautics Act 1938 - Routine travelers got improved safety: - - authority
shall give full consideration to the duty resting upon air carriers to perform their
services with the highest possible degree of safety
- 1932 - 474,000 passengers; 25 killed and flight insurance was 8x rail rates
- 1940 - 2.3 million (49 killed) and flight insurance = rail rates
Civil Aeronautics Act 1938 - general public got a bearable tax bill: - - ticket fares
and subsidies paid more costs
- general public paid a portion of the air mail subsidies, and for most aviation
infrastructure through local (airports) and federal taxes (ATC, weather,
navigation)
Civil Aeronautics Act 1938 - - established a distinct "deal" for industry, public, and
government
- in return for protection and guaranteed profits, favored carriers provided safe
service to as many places as possible at moderate ticket prices
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