Fuel Prices and the Future

[bssthound]

Obviously a lot of attention is being paid to fuel prices as every time one wakes up it costs a little more to fill up your car. What about jet fuel over the next couple years or so?? Since there aren't any dinosaurs currently dying off to meet the soaring demand I think it won't be long before the price is gonna go WAAAY up. What do you think? I hate to float a great big wrinkleneck finless brown sewer trout in the punch bowl but I just don't see how the airlines will make it.

 

[Corona]

One radical idea would be that they stop selling seats below cost. If fuel prices go up, seat price must go up. If you have MBAs in management who can't figure out this complicated idea, your respective airline is heading for the rocks.

Good luck,
C

Another radical idea: They could stop trying to balance the books by busting down their employees' salaries.

 

[Wiggums]

Yeah, you're thinking about something like this:

http://en.wikipedia.org/wiki/Peak_oil

Of course, if you really want to scare yourself, read this one:

http://www.lifeaftertheoilcrash.net/

And if you think conservation/market forces will be the solution, here's something else to think about:

http://en.wikipedia.org/wiki/Jevons_paradox

 

[User546]

One radical idea would be that they stop selling seats below cost. If fuel prices go up, seat price must go up. If you have MBAs in management who can't figure out this complicated idea, your respective airline is heading for the rocks.

Good luck,
C

Another radical idea: They could stop trying to balance the books by busting down their employees' salaries.

Thus partly the reason why most of the big hitters are quickly drowning trying to compete with the likes of Southwest, and company.

 

[88_MALIBU]

I agree, I think seat prices should be affected by fuel.

 

[Fuzzy_is_Hungry]

I am not an expert by any means, but I heard that since jet fuel is more of a "speciality blend" the prices don't fluctuate as freely as auto gas does. I'll try to find the article.

 

[WizardPilot]

I am not an expert by any means, but I heard that since jet fuel is more of a "speciality blend" the prices don't fluctuate as freely as auto gas does. I'll try to find the article.

I heard that too, and the prices at the local airport seem to show that. Av 100LL is a lot more expensive than Jet A.