An Attractive Regional Policy Instrument

In addition to seven large airports which mostly operate close to capacity Germany has a tightly knit net of 19 comparatively small airports which have a significant impact on the region in which they are located.

While state governments heavily promoted their expansion during the past decade, big airport advocates criticized what they saw as an uncoordinated sprawl and unfair subsidies. Yet regional airports can also be seen as elements of regional policy, aside from serving local consumers and businesses. They facilitate access to peripheral areas and create jobs at the airport and by spurring economic growth. Interregional spillovers lead to better accessibility in neighboring regions and the competition limits the monopoly power of the global players.