Airline Security: A Numerate, Game Theoretic, Public Choice Analysis
Abstract
After the terrorist attacks of September 11, 2001, the federal government in the United States took over airline security in all but five airports and dictated standards even for those airports with private security. The federal government regulates in two main ways: by checking passengers with carry-‐on items for bombs, guns, knives, etc. and by checking checked bags for explosives. There has been much discussion of the rationales and efficacy, and even some cost‐benefit analyses of these measures. But no one in the literature has made a clearcut externality argument for government provision of or regulation of airline security.
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