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It will not effect airlines that have trip and duty rigs like DAL, it will kill the regionals as their costs per block hr will go way up.
I also expect to see hiring.
Not true, bus travelers are the highest revenue generators, and without them they could not survive. But the airlines have to fill those empty seats with anything that gives money to the airline. I saw an article once that all of SWA's profitability was based upon 3.5 seats per flight filled advance purchase prices. At higher prices fewer passengers, particularly those who don’t have to go by air and only go because it is cheap and it will affect the bottom line. Study airline yield management. The airlines can demand high fares on Fri/Sun/Mon when the business guys travels, but on Tues/Wed/Sat they have to put something in that seat that generates revenue. There is too much capacity in the system and the airlines are chasing LF. UAL just made a decision to reduce capacity with it's future fleet, replacing the 767, 777 and 747 with 787’s and 350'sNo, airlines live off the business traveler.