AFJROTC Commercial and General Aviation Take Off Practice Exam

How many airlines have sought bankruptcy protection or gone out of business since 1978?

1. 50

2. 100

3. 150

4. 200

The correct answer is: 150

The correct answer reflects the extensive history of the airline industry in the United States since the deregulation that occurred in 1978. Following deregulation, the competitive landscape changed significantly, leading to both new airlines entering the market and existing airlines struggling to adapt to a more competitive environment. Many airlines faced financial challenges due to price wars, increased operating costs, and economic downturns, which often resulted in them seeking bankruptcy protection or ceasing operations entirely. The number of approximately 150 includes a wide range of airlines, from major carriers to regional ones that were unable to survive the pressures of the market. This figure underscores the volatility of the airline industry and the frequent shifts in ownership and operation. Other options provide estimates that are lower than the actual count, which does not fully capture the significant number of airline failures and bankruptcies that have occurred over the years. Over 40 years, the aviation market has seen numerous fluctuations, and this higher number accurately reflects the total impact of those challenges faced by various airlines during that period.