The gov has wanted total control over all air transportation since the 60s that I know of.  Delta just claimed bankruptsy, and I saw another may be as well.  

American people willingly give all mass air transportation over to the government?

That's absurd.

Great, that's just we need - The Amtrack of the skies!

the us gov already is in charge of your "safty" before you get on the plane, while you are on the plane, and is responsible for approving all rules and regulations and prviate air lines MUST comply with the gov's rules and regulations, tests, and protocals.  

Since I dont have a crystal ball, I wont make predictions about things I know nothing about.
I will however post some things I would be interested in seeing the outcome of...

The effects of a government run airline industry as it relates to safety (mechanical)
The effects of a government run airline industry as it relates to security
The effects on ticket prices
If the government would manipulate the global oil markets to effect the prices for jet fuel
On-time flight  percentages

I think it would be interesting, not neccesarily worse or better.
My feeling is, if the airline companies ran a better business, they wouldnt be banckrupt.
I dont feel sorry for a company that loses in the market place.

Capitalism works....if they sold a superior product at a fair price, the market would sustain their position in the industry.