Why Is Airport Ownership by the Local Municipality Advantageous?

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Introduction

In modern times, airports are present in almost all cities, so their proper management presents an important task for governments. A significant role plays in how an airport’s ownership is organized. In some states, such as the UK and Australia, officials arrange the privatization of major airports (Morris, 2022). But quite under-discussed are the benefits of airport ownership by local municipalities. Such delegation of authority brings more financial accountability, profits for local communities, and better labor contact with airport management.

Discussion

The legacy of federalism and decentralization explains the great volume of local municipality ownership in the US. Being founded as a republic built upon down-up principles, the American population always appreciated the local initiative. The main advantage is that local supervision establishes democratic control over the functioning of airports (Hanna, 2018). Money flows through fewer bureaucracies than it could under federal control. Because of this, the accounting of finances becomes more transparent, significantly reducing corruption. In addition, easier access to decision-making bodies makes lobbying for better working conditions and wages more accessible (Murakami & Kato, 2020). Local policymakers will make better decisions because they know local issues better than the federal or state governments. Finally, profits from keeping airports will go to the local budget, increasing incentives to modernize airport technologies.

Conclusion

To conclude, the answer to this question relates to the scholarship on the benefits of dispersed decision-making. History shows that strict federal control, an extreme example of which is the USSR, brings inefficiencies and degradation. Thus, arguments for keeping airports by local municipalities’ ownership are similar to any kind of enterprise or service. In a further study, it will be interesting to compare what differences private ownership has in comparison to local municipalities.

References

Hanna, T. M. (2018). The return of public ownership. Renewal: A Journal of Labour Politics, 26(2), 17-32. Web.

Morris, M. (2022). Who owns Airports? KN Aviation. Web.

Murakami, J., & Kato, H. (2020). The intra-metropolitan distribution of airport accessibility, employment density, and labor productivity: Spatial strategy for economic development in Tokyo. Applied Geography, 125, 1-16.

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