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This paper answers the question: Will the Vertical Takeoff and Landing (VTOL) commercial aircraft be a competitor or an assistant to conventional aircraft? VTOL of the type being studied by the Lockheed-California Co. are designed to compete with conventional commercial aircraft in short range operations. The Lockheed Airline Systems Simulation model was used to investigate this competition. The results for the U. S. Northeast Corridor show that a fully developed VTOL system will assist the airlines by turning short haul operations from a losing to a profitable operation and by offering the passenger better service. Cities will be assited by the amelioration of airport congestion and this, in New York, could obviate the need for construction of at least one additional major conventional airport.