ABSTRACT
Airports make considerable economic contribution to the prosperity of a region. This prosperity impact becomes apparent in increases of created value added, income and employment. Airports produce positive economic effects in terms of investment factor through the operation of the airport and through location advantages for the users of air transport. The advantages for users become apparent in increases in productivity, cost reductions and market expansions. These growth effects impact positively on tax revenues for the Exchequer. Opposed to these positive effects on economic welfare are contractive impacts due to external costs of air transport. The economic development potential a region possesses is reduced in case of restricted capacities at the airport. These restraints negatively affect the creation of value added and productivity. Empirical studies show that considerable gains in growth and productivity can be obtained by eliminating existing restrictions of capacity‥
