Business Travel And The Election

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Modernizing Air-Traffic Control

The nation's air-traffic control system relies on antiquated radar. It's one of the reasons that delays skyrocketed in recent years as airlines overwhelmed the system with new flights. This fall's double-digit flight cutbacks have temporarily relieved the stress, but the nation badly needs a new A.T.C. system. A so-called NextGen product that uses satellite-based technology has been stalled in Congress and will take up to 20 years to implement once it passes. The new president will have to figure out how to execute intermediate improvements so that air-traffic control won't buckle when the economy improves and airlines add flights again.

And there's this: The Federal Aviation Administration and air-traffic controllers remain at war after the Bush Administration unilaterally imposed new contract terms and work rules. Controllers retaliated by retiring in record numbers. The workforce needs to be rebuilt fast—no easy task when it can take two presidential election cycles to bring a new controller fully up to speed.

Will the Skies Stay Open?
The big rush to deregulate the skies between the United States and Europe hasn't gone as the airlines or pundits expected. There's been much less new service launched; much of what did start in March has already been dropped or changed. Ditto for more liberal aviation agreements between the United States and Asia-Pacific nations. What's all this got to do with a new president? Believe it or not, aviation agreements are treaties between nations and presidents must literally sign off on them. The next president will be under pressure to revisit the European agreement—large Europe-based carriers may want the right to make big investments in U.S. airlines—and forge new deals to revive the flagging fortunes of transoceanic service.

Defending the Dollar
A strong-dollar policy has been a staple of all post-war presidents. Yet the Bush Administration has been more talk than action and the greenback hit appalling lows this year against the euro, British pound, the Australian, New Zealand, and Canadian dollars, and many other currencies. Oddly, however, this fall's financial meltdown has strengthened the dollar or weakened other currencies—or a combination of both. With head-turning speed, the dollar has rebounded and hit a five-year high against the British pound and a two-year high against the euro. The Australian, New Zealand, and Canadian dollars have withered and given back years of gains against the greenback in just a few weeks. (The exception: the Japanese yen is surging even faster than the dollar. Last weekend, the value of the dollar dropped to 91 yen, its lowest rate in 13 years.)

The next president must make a decision: Buck up the buck, which would make it cheaper for us to travel on business overseas. Or let it fall again, which would encourage exports and inbound tourism, but increase the cost of international travel for U.S. fliers and drive up the price of oil for everyone.

The Fine Print…
If Barack Obama is elected, insiders think Representative James Oberstar, chairman of the House Transportation Committee, could be named secretary of transportation. John McCain's choice might be Governor Tim Pawlenty, who won praise for his leadership after the 2007 bridge collapse in Minneapolis. It's just coincidence that both men are from Minnesota.

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