CalifDan
Well-known member
- Joined
- Mar 13, 2006
- Posts
- 83
Internet
I don't want to get in any pissing match over free market economics, but the internet and the users of the internet have nothing to do with the willingness of the airline industry to compete in a free market. If the internet did not exist, travel agencies or the consumer themselves through phone calls would still be looking for the cheapest fare. The internet is just a communications vehicle.
I think that we may reach a point where we decide that deregulation may have been a mistake. While the consumer has certainly benefitted, the taxpayer cost to support the industry in various ways and the effects on the industry itself are problematic. Maybe the right model is partial regulation, I'm not sure. I am sure that the best fare exists not because the public demands it but because corporate decision makers are trying to capture market share.
It's complicated also by the fact that the airlines would be taken to task for restraint of trade and price fixing issues if they got together to try and save themselves by responsible ticket pricing based on cost of operation.
While I'm a free market advocate, I recognize that some things are better served from a regulatory base. California sure discovered some of the things that could happen with energy costs the last few years based on deregulation. It's unfortunate what is happening to the business. Less service, longer drives for passengers because no one will fly a routes to smaller airports, bigger peak hour hits at major airports, longer travel routes because of hub and spoke issues, and starting pilot pay that is not consistent with the responsibility and effort required to reach the position.
However, with travel agencies vastly out of the picture, commercial flyers using internet travel services THESE days will keep the prices low, low, low
I don't want to get in any pissing match over free market economics, but the internet and the users of the internet have nothing to do with the willingness of the airline industry to compete in a free market. If the internet did not exist, travel agencies or the consumer themselves through phone calls would still be looking for the cheapest fare. The internet is just a communications vehicle.
I think that we may reach a point where we decide that deregulation may have been a mistake. While the consumer has certainly benefitted, the taxpayer cost to support the industry in various ways and the effects on the industry itself are problematic. Maybe the right model is partial regulation, I'm not sure. I am sure that the best fare exists not because the public demands it but because corporate decision makers are trying to capture market share.
It's complicated also by the fact that the airlines would be taken to task for restraint of trade and price fixing issues if they got together to try and save themselves by responsible ticket pricing based on cost of operation.
While I'm a free market advocate, I recognize that some things are better served from a regulatory base. California sure discovered some of the things that could happen with energy costs the last few years based on deregulation. It's unfortunate what is happening to the business. Less service, longer drives for passengers because no one will fly a routes to smaller airports, bigger peak hour hits at major airports, longer travel routes because of hub and spoke issues, and starting pilot pay that is not consistent with the responsibility and effort required to reach the position.