Substituting [pi] = px - [member of]x, recalling that constant returns to scale in Equation (1) imply Y +
bJx = Lw + pJx, substituting
bJx - f L = -az from the government budget in Equation (A6), and recalling that z (1 + a)= Z, the above expression yields the aggregate constraint
Continental Airlines will launch daily nonstop service between Los Angeles International Airport (LAX) and Leon/Guanajuato, Mexico (
BJX), subject to Mexican government approval, beginning Nov.