PSA and piedmont

[cheapgreek]

WTF is up with the last 4 pages of nonsense. I can't be the only one.

Sorry, I could not believe anyone on this site knew absolutely nothing about airlines. Sorry I wasted so much time trying to explain a simple concept to a skinflint who values $1.50 so much.

 

[kf4amu]

The only nonsense is the idea that a price/demand curve flattens out for the first 1.50 increase above current levels.

 

[BoilerUP]

Theory taken from an Intro To Economics textbook sounds great...but its just that - theory. And like I've already said twice, the real world economics doesn't always follow the way textbooks say they should.

Yes, any increase in price changes where a product falls on the price/demand curve. However, that change might be imperceptible (ie. it doesn't end up actually influencing purchase decisions or changing consumption).

A buck fiddy change to a Jr. Bacon Cheeseburger is going to flip the price/demand curve on its lid; the same change to a car will be totally negligible. An airline ticket falls somewhere the middle, and in the grand scheme, a <0.5% change in price isn't going to have a material impact on the number of tickets purchased.

Further, Hilton Head is much more of an inelastic market when it comes to pricing than, say, Orlando...or even Savannah. A higher income demographic that places a premium on time, with limited competition for the service, does that for you.

Example: Jet-A @ HXD Signature is about $8.50/gal while the same gas from Signature at SAV is about $6/gal.

Class dismissed.

Now that we've settled who reads a WSJ, can we get back to "As The WOs Turn"?

 

[Flyin2low]

Are PSA and PDT going to merge or be shut down?

 

[AirHead99]

Neither. The current hubub is overblown. PDT may shut down, but that is in the ~3 year timeframe when the fleet size shrinks to an untenable number.

 

[cheapgreek]

Neither. The current hubub is overblown. PDT may shut down, but that is in the ~3 year timeframe when the fleet size shrinks to an untenable number.

I wonder what that number will be? 934 is out of service, 906 is parked and 907 and 908 will time out by the end of the year. For many years PDT has said they are actively looking for more aircraft but has not closed the deal on a single one.
They went from 6 bases to 3 in a few years and parts for the 100's have been hard to find.
Any word if 934 will be written off or repaired?