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China: No More New Airlines

Citing safety concerns, China’s aviation authority has announced that they will not permit any additional airlines to launch before 2010.  They are also cutting back on the number of flights into Beijing by about 5% (right before the Olympics — good luck getting a flight).  While this seems very consumer unfriendly, it’s actually the opposite:  Chinese airports have been overcapacity, causing significant delays across the system (sound familiar?).  They hope to improve on-time performance and safety by getting flights down to a more reasonable level.

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