This blog contains posts and comments written by students in Dr. Tufte's economics classes at Southern Utah University.
4/11/2006
Airline tickets increase with increased fuel charges
The recent increase in fuel is effecting everyone whether you travel by air, bus, train or car. Even the cost of groceries has increased due to the cost of fuel. American Airlines has announced an increase in international tickets of $20 round trip. There is no end in sight of the continued cost increase. American Airlines has announced the increase for international flights but domestic flights will probably follow soon. I believe even the cost of fast food will be increased shortly.
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3 comments:
Gosh ... would you rather walk? If cost is the big problem, there is a solution there.
I didn't think so. This suggests that the problem is elsewhere.
We buy all sorts of things that are expensive for what they are. A few posts back it's noted how much is spent on tanning. Yet people who pay $20 for tan will complain about spending $20 on gas that might allow them to avoid 200-400 miles of walking (and allow them to carry all their stuff with them).
This makes me think that there are benefits to complaining about this sort of thing that we are not seeing.
An interesting wrinkle in the world of airline tickets--an American Airline ticket purhased a few weeks ago was $297 +$60 in taxes and fees. The same ticket purchased today, I discovered, is $299 +40 in taxes and fees. The difference, I am told, is that the airline "locks in" the fuel surchage when the ticket is purchased. As you may have noticed, gas prices are falling recently, but political implications are beyond the scope of my comment here. --Kim
Very interesting - that sounds like they are bundling as well.
Thanks for commenting.
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