Replication Data for: "Demand Volatility, Adjustment Costs, and Productivity: An Examination of Capacity Utilization for Hotels and Airlines"

Resource Type
Dataset : aggregate data, observational data, other, survey data
  • Butters, R. Andrew (Indiana University)
Publication Date
Free Keywords
productivity; demand volatility; adjustment costs; capacity utilization; occupancy rates; load factors; hotels; airlines
  • Abstract

    Measures of productivity reveal large differences across producers even within narrowly defined industries. Traditional measures of productivity, however, will associate differences in demand volatility to differences in productivity when adjusting factors of production is costly. I document this effect by comparing the influence of demand volatility on capacity utilization in a high (hotels) and low (airlines) adjustment cost industry. Differences in annual demand volatility explain a large share of the variation in occupancy rates of hotels at the metro area-segment-year level. In contrast, differences in annual demand volatility have no effect on load factors of airlines at the destination-airline-year level.
Temporal Coverage
  • 2003-01-01 / 2011-12-31
    Time Period: Wed Jan 01 00:00:00 EST 2003--Sat Dec 31 00:00:00 EST 2011
  • 2013-01-01 / 2019-06-30
    Collection Date(s): Tue Jan 01 00:00:00 EST 2013--Sun Jun 30 00:00:00 EDT 2019
Geographic Coverage
  • U.S.
Sampled Universe
Flights and hotels in major U.S. cities over the period 2003--2011.

This study is freely available to the general public via web download.
  • Has version
    DOI: 10.3886/E125241V1

Update Metadata: 2020-10-27 | Issue Number: 1 | Registration Date: 2020-10-27