Introduction to managerial economics
What is managerial economics? Airbus and Boeing comprise a duopoly in the manufacture of large commercial jet aircraft (with 150 or more seats).1 Boeing’s most successful and profitable plane is the Boeing 737, a twin-engine, single-aisle, medium-range jet. First flown in 1967, the Boeing 737 has been developed into nine models. As of December 2010, Boeing had delivered 6,687 units of the 737, with a further 2,186 on order. The Boeing 737 competes with Airbus’s A320 family, comprising five models – the A318, A319, A320, A321, and ACJ business jet. According to Boeing forecasts, airlines would buy 23,370 new single-aisle planes in the next 20 years.