Aviation deregulation which is also known as airline deregulation is a process of removing government-imposed entry and price restrictions on airlines affecting the carriers permitted to serve specific routes. The government passed an Act in 1978 called the Airline Deregulation Act of 1978. In the late 1950s and early 1960s, the aviation industry was experiencing dramatic growth with the integration of jets. By mid-1960s, they were carrying roughly one-hundred million passengers, that number increased my 100 million by the mid-1970s carrying over 2 million passengers. With the increasing amount of growth in air travel, it began to place serious strains on the federal regulators ability to cope with the increasing complexity of the nature …show more content…
It was an experiment and still is an experiment to reduce the high cost of ticket prices and entry controls holding sway over new airline hopefuls. The Airline Deregulation Act of 1978 was signed by President Jimmy Carter in 1978. State supported airlines are still maintaining control over ticket prices and route entry; many countries have since deregulated their own domestic airline markets. The beginning of federal government regulation of the airline industry can be followed back to the Air Mail Act of 1925, this Act authorized the postmaster general to contract for domestic airmail service with commercial air carriers, and the Air Commerce Act of 1926, this Act gave the government responsibility for fostering air commerce, establishing airways and aids to the air navigation, and making and enforcing safety rules. The additional federal regulation of commercial aviation was imposed with the passage of the Civil Aeronautics Act of 1938. The Civil Aeronautics Act of 1938 created the Civil Aeronautics Board (CAB), this gave the CAB power to regulate airline routes, control entry to and exit from the market, and mandate service rates, investigate accidents, certify aircraft and pilots, to create rules for air traffic control (ATC), and create new rules to prevent repeating of