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[quote] FWIW, I wonder if the airlines would have ever left the ground if they had had to pay for their own airports, the ground-based nav systems and the air traffic control network. [/quote]By and large the airlines have paid for the portion of the airports that they use.  They have also paid for their portion of the air navigation infrastructure and air traffic control operations.  As I have pointed out in other posts, the airlines, as well as general aviation, which is the biggest user of the airways, as well as most airports, realize a marginal cost advantage because the country's airports were funded with tax free municipal bonds.  This has lowered the cost of building the airports, which is passed on to the airlines in slightly lower landing fees, hanger fees, etc., depending on the stance taken by the local airport authority.  The lower cost also benefits the airport vendors, fixed base operators, etc.The airways were funded with federal dollars, most of which were and are recouped through fuel taxes, ticket taxes, and fees.  Theoretically, the interest associated with those dollars was the rate for the U.S. Treasury Ten Year Note.  But the actual interest rate would have varied significantly and at times would have looked more like the Treasury long bond rate.  Historically, these rates have been somewhat lower than the interest rates in the private capital markets.Early in their history the airlines depended on mail contracts to survive.  Whilst I was in college, I took several transport economics courses.  I remember one professor who made a compelling case that the government paid more for the mail contracts as a means of subsidizing the budding airlines, but the practice was stopped by the early 1960s. At a few of the major airports in the U.S., e.g. Kennedy, DFW, LAX, the airlines have the biggest presence.  But they are not the only players.  At these three airports, as well as the country's other hub airports, other commercial carriers, e.g. Federal Express, UPS, DHL, etc. have a significant presence, as does general (business) aviation.  They too pay landing fees to cover the cost of building and operating the airports.Outside of DFW and Houston Intercontinental, the airlines account for less than 50 per cent of the operations at the other Texas airports, as an example.  And at many of the smaller fields, they may account for less than 30 per cent of operations.  For example, airline flights in 2006 at Dallas' Love Field accounted for approximately 27 per cent of its movements.   Airline operations make up about 30 per cent of the FAA's air traffic control workload.  The rest is attributable to general aviation, e.g. FedEx, UPS, business operations, etc.; military operations in civilian airspace, and miscellaneous flights.    The Airline Transport Association has argued before Congress that its members pay more than their fair share of the cost of the airways and air traffic control system.  As expected, general (business) aviation groups have pushed back on this assertion, but there is some validity to it.
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