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  • Commercial aviation helps drive more than 10M American jobs and 5 cents of every dollar of U.S. GDP

  • Commercial aviation drives more than $1 trillion per year in economic activity

  • In 2012, U.S. airlines moved more than 48,000 tons of cargo per day

  • In 2012, the value of a kilogram of U.S. merchandise exported by air averaged 121 times the value exported by sea

  • For every 100 airline jobs, some 360 are supported outside of the airline industry

  • Federal taxes constitute $61 – or 20% – of the price of a typical $300 domestic round-trip ticket

  • In 2011, U.S. airlines carried 16 percent more passengers and cargo using 10 percent less fuel than in 2000

  • Domestically, airlines drive 5% of economic activity but account for 2% of man-made GHG emissions

  • From 2000-2011, airlines reduced GHG emissions by 11% while transporting 16% more passengers and cargo

  • From 1975-2011, U.S. airlines and their partners reduced significant noise exposure by 99%

  • Commercial air travel is the safest form of intercity transportation in the United States

  • In the most recent decade, scheduled air service on U.S. airlines was seven times safer than in the 1970s

  • From 2000-2012, U.S. airlines improved the on-time arrival rate from 72.6% to 81.9%

  • From 2000-2012, U.S. airlines reduced the flight cancellation rate sharply from 3.30% to 1.29%

  • Airfares are a bargain: From 2000-2012, U.S. CPI rose 33% while average domestic fare rose just 14%

  • Adjusted for inflation, the average round-trip domestic airfare fell 15% from 2000

  • 2007 domestic flight delays cost the United States approximately $31 billion

  • In 2012, the value of U.S. merchandise exported by air reached an all-time high of $427B

  • In 2012, U.S. exports of air-travel services reached an all-time high of $39.5B, driving a $5.1B trade surplus

  • In 2012, U.S. passenger and cargo airlines spent more than $50B on fuel, averaging 36% of operating expenses

  • In 2012, U.S. airlines posted the lowest annual rate of mishandled baggage ever recorded

  • FAA projects U.S. air travel demand to top 1 billion passengers in 2027

  • In 2012, US airlines flew 83.4 million passengers in scheduled international service - a record high

  • In 2012, the total value of merchandise exported from or imported to the United States by air exceeded $927 billion

  • In 2012, 7.15 teragrams of merchandise was exported from or imported to the United States by air

 Economic Impact

Screen with economic data trend lines

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At the onset of 1937, then-ATA President Edgar S. Gorrell, presciently remarked that "Any medium that reduces the element of time in travel and communication will eventually assume a commanding role in the affairs of men. [D]eveloped in embryo as a Government undertaking…the American air transport industry serves as an indispensable instrument of domestic, overseas, and foreign commerce and social intercourse. Beyond doubt, the scheduled air transport industry has influenced and stimulated many of our other national industries."
 
On March 29, 1999, Microsoft Chairman Bill Gates included the following observations about Orville and Wilbur Wright in a commemorative article for Time Magazine:  "The Wrights created one of the greatest cultural forces since the development of writing, for their invention effectively became the World Wide Web of that era, bringing people, languages, ideas and values together. It also ushered in an age of globalization, as the world's flight paths became the superhighways of an emerging international economy. Those superhighways of the sky not only revolutionized international business; they also opened up isolated economies, carried the cause of democracy around the world and broke down every kind of political barrier. And they set travelers on a path that would eventually lead beyond Earth's atmosphere."
 
In the summer of 2005, Pulitzer Prize winner Daniel Yergin opined, "Every day, the airline industry propels the economic takeoff of our nation. It is the great enabler, knitting together all corners of the country, facilitating the movement of people and goods that is the backbone of economic growth. It also firmly embeds us in that awesome process of globalization that is defining the 21st century." Indeed, the World Bank recognizes that "Air transport has become an essential economic and social conduit throughout the world. Beyond the benefits of fast and inexpensive transcontinental travel, air transport also has become a vital form of shipping for high-valued items that need to come to market quickly, such as agricultural products subject to spoilage." Further, it notes that air cargo has become the essential mode of transportation for high value and perishable goods, wherein 40 percent of all goods by value worldwide are transported by air: "Many developing countries depend heavily on air cargo for their exports as other modes are unreliable or non-existent."
 
University of North Carolina Professor John D. Kasarda (Director of the Kenan Institute of Private Enterprise at UNC's Kenan-Flagler Business School) has observed that major airports are essential to U.S. competitiveness and are powerful engines for local economic growth. "Business is a contact sport," Kasarda observes, "and aviation is the physical Internet — it lets people and products physically connect over long distances quickly... It enables the real connectivity. We're talking about what enables the world to be flat." He noted in an October 2008 article that the combined importance of speed, agility and connectivity in today's increasingly fast-paced, globally networked economy are creating a new economic geography "with aviation networks driving and shaping business location and economic development in the 21st century as much as highways did [in] the 20th century, railroads in the 19th, and rivers and seaports in the 18th... The upshot is that route development, business development, and regional economic development go hand-in-hand around the globe."
 
On May 22, 2008, in a speech to the Aero Club of Washington, former U.S. Air Force Secretary Michael Wynne declared that "Our country's vastness and its economy depend upon commercial aviation as the backbone of national and international commerce… Global trade undergirds America’s strength and allows the United States to project its economic power. In my opinion, the commercial aviation industry [is] a crucial component of America’s economic strength. This has been true for decades, and will remain true into the foreseeable future." In August 2008, Moody's Economy.com chief economist Mark Zandi remarked that "Aviation is the glue that keeps the global economy together. Without widely accessible and well-priced air travel, the global economy will quickly become less global."
 
In August 2011, the Federal Aviation Administration (FAA) Air Traffic Organization (ATO) published "The Economic Impact of Civil Aviation on the U.S. Economy," finding that in commercial aviation was ultimately responsible for 4.9 to 5.2 percent of U.S. gross domestic product (GDP), helping generate $1.2-$1.3 trillion in annual economic activity, $370-$405 billion in annual personal earnings and 9.7 to 10.5 million jobs.
 
Economic Impact of Commercial Aviation on the U.S. Economy (2006-2009)
Economic Activity/Output (annual)​ $1.2-$1.3 trillion​
Personal Earnings (annual)​ $370-$405 billion​
Share of GDP​ 4.9-5.2 percent​
Job Impact​ 9.7-10.5 million​
Source: FAA Air Traffic Organization, The Economic Impact of Civil Aviation on the U.S. Economy, August 2011
 
In the FAA report, ATO Chief Operating Officer David Grizzle observes, "In today's ever-changing and innovative world, aviation provides a vital link to economic opportunities at home and abroad... Our economic success clearly depends on the success of aviation."
 
In May 2012, the International Air Transport Association (IATA) released a new Oxford Economics study, Economic Benefits from Air Transport in the US, which found that in 2010 the aviation sector contributed $669.5 billion in gross added value (4.9 percent) to the U.S. economy. Of this, $206.4 billion was contributed directly by airlines, airports and related ground services. Notably, the study also determined that the average air transport services worker generated $105,300 in gross value added, or 6 percent more than the average U.S. worker ($99,200). The United States also enjoys 361 direct connections to cities whose population exceeds 10 million, with more than 900,000 international flights per year to 279 airports in 108 countries, and is one of the world's best connected economies relative to the size of its economy.


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U.S. airlines are indispensable facilitators of the U.S. economy.

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