Which type of sponsorship model assumes all liability for airport costs?

The compensatory sponsorship model is the correct choice because it involves a financial arrangement where the sponsor agrees to cover all operational costs and liabilities associated with the airport. This model ensures that the airport management does not incur any financial risk associated with running the airport’s operations, as the sponsor takes on the responsibility for covering all expenses. This can include maintenance, staffing, security, and other operational costs.

In contrast, other sponsorship models do not assume full liability. For example, the residual model often entails that airport revenues cover the costs, leaving the airport to absorb any deficits. The hybrid model includes features of both compensatory and residual models, which implies shared costs rather than full liability being taken on by a single sponsor. Public subsidy deals typically involve government funds to support the airport, but again, this doesn't mean a single entity is assuming all operational liabilities.