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Hemorrhaging dough

Why airlines still charge a lot of money for tickets


With the recent drop in fuel prices across the board, wouldn't it make sense that fuel surcharges on plane tickets would drop too?

Probably. But we live in an illogical world, where things happen for reasons that are strange and confusing.

Except airlines keeping prices on tickets high isn't exactly illogical...it's just a pain in the neck.

To those readers who haven't been flying much in last few years, most airlines have imposed additional charges on their tickets in response to the massive increase in the price of jet fuel (and oil products in general) since the turn of the century.

In the past year, surcharges have increased almost catastrophically, especially on international flights. An Air China flight from New York City to Beijing carries about a $330 surcharge, a 65 percent increase since last year. L.A. to Bangkok on Thai Airlines carries a $542 charge, up 185 percent from last year.

Hence, it seems, the aptly-named 'staycation.'

Read between the lines here and it is easy to see why the surcharges have climbed so dramatically while fuel prices have fallen dramatically as of late: airlines have been hemorrhaging money since 2001 and commercial air travel hasn't been an incredibly cost-effective industry for decades.

The folks that run these businesses want to grab some coin wherever they can scrounge it. See also: fees to check baggage, disappearing dining service, and 25 percent less perky flight attendants.

And that is A-OK. This is America, we are a capitalist nation, money makes the wheels spin, etc.

But let's get a few things clear while we're on the subject.

To Barbara Beyer, the president of the Avmark aviation consulting firm, who was quoted in Tuesday's USA Today article on this subject: Yo-yoing prices are a way of life. Don't insult us by saying that our annoyance over price fluctuation is your reason for keeping prices high. If you need money, admit it.

To consultant Michael Boyd, the little weasel quoted in the same article as saying, "consumers should feel lucky there's anybody who wants to run an airline." You folks should feel pretty lucky anyone wants to fly at these prices. Make no mistake, there are alternatives to air travel that have been around for longer than your big ol' winged tubes, alternatives which are even now being re-considered for domestic travel. Now is not the time to be cocky, unless you really like the rush that comes with being unemployed.




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