The American-US Airways Merger Is a Bad Idea

American Airlines unveils a new company logo and exterior paint scheme on a Boeing 737-800 aircraft on January 17 in Dallas. Photograph by Tom Pennington/Getty Images

Endlessly repeating falsehoods won’t make them true—something that stock analysts and the press need to learn about mergers in general and airline mergers specifically. So no, the much anticipated American-US Airways merger is unlikely to be a success by any measure. That’s because, in the airline industry, as in many industries, size really does not matter for success, except possibly negatively.

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