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Departure delays,the pricing of congestion,and expansion proposals at Chicago O’Hare Airport
Affiliation:1. Department of Operations & Information Management, Isenberg School of Management, University of Massachusetts, Amherst, MA 01003, USA;2. Mario J. Gabelli School of Business, Roger Williams University, One Old Ferry Road, Bristol, RI 02809, USA
Abstract:Chicago's O’Hare airport is extremely congested, especially in the late afternoon and early evening. The paper uses a publicly available database to estimate the relationship between the number of flights wishing to depart and the delays they experience. This relationship is used to calculate congestion fees that provide airlines with incentives to move some flights out of the peak period and to slightly alter the scheduled departure time of other flights to avoid the rush of departures that occur on the hour. The very high fees at certain times of day point to the benefits that can be obtained from current plans to expand and reconfigure the airport to reduce delays in both good and bad weather.
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