The literature, aimed at understanding the income–price elasticity of air passenger demand, bases its analysis on airport movement. The diversity of studies regarding the casualty between air transportation and economic growth are examples. Some studies covering this link, estimate the income–price relationship with the demand considering international traffic. Considering a domestic setting, where this traffic is significant in Brazil, studies related to remote regions are scarce, and the existing ones focus on governmental policies and subsidies. In addition, empirical studies on the theme consenter themselves in developed regions, such as Europe, North America, and Australia. For Brazil, where we find the Amazon region, there is no empirical research. This paper analyses the price–income elasticity of the demand regarding domestic passengers in air links from remote cities of the Brazilian Amazon. This study uses panel data regression analysis method on a database of domestic scheduled flights of Brazil´s National Civil Aviation Agency. The results show that air passengers involving remote region flights present a lower sensitivity regarding local income and an airline´s price variations than those in flights among capitals. The higher difference is in the income elasticity of the remote city of origin, which is lower than that of the air traffic among capitals.

Since World War I, the commercial aviation industry has seen many improvements that now allow people and goods to reach the other side of the world in a few hours, consuming much less fuel than in recent decades. Improvements in cargo capacity and energy efficiency were significant, and in this scenario, commercial airlines were able to thrive and bring great benefits to the world economy. However, this sector is facing environmental challenges due to the intensive use of jet fuel. Brazil is one of the largest domestic air passenger markets in the world and still has great growth potential, considering its economic potential and territorial dimensions, which are roughly the same size as the US and twice the size of the European Union. This paper discusses the partial productivity of jet fuel in Brazilian domestic aviation and proposes an econometric method to support public regulators and airline decisions. The proposed model uses variables, such as aircraft size, route characteristics, and idle flight capacity, in a panel data analysis. The results show that reducing idle capacity is one of the best ways to achieve better short-term fuel efficiency, and therefore will reduce the environmental impacts and have positive economic effects on commercial air transport activities. This paper brings a new approach to the discussion of airline performance, focusing on the use of jet fuel, with economic and environmental consequences.

Since World War I, the commercial aviation industry has seen many improvements that now allow people and goods to reach the other side of the world in few hours, consuming much less fuel than in recent decades. Improvements in cargo capacity and energy efficiency were significant and, in this scenario, commercial airlines were able to thrive and bring great benefits to world economy. However, this sector is facing environmental challenges due to the intensive use of aviation fuel. Brazil is one of the largest domestic air passenger markets in the world and still has great growth potential, considering its economic potential and territorial dimensions: roughly the same size as the US and twice the size of the European Union. This paper discusses partial productivity of jet fuel in Brazilian domestic aviation and proposes an econometric method to support public regulators and airlines decisions. The proposed model uses variables such as aircraft size, route characteristics and idle flight capacity in a panel data analysis. The results show that reducing idle capacity is one of the best ways to achieve better short-term fuel efficiency and therefore will reduce environmental impacts and have positive economic effects on commercial air transport activities.