Air Travel Just Got More Expensive, Again

A $5 (each way) fare hike survived through the weekend with all five major carriers adopting it, according to USAToday:

Bankrupt Delta Air Lines was the first to raise fares last week on flights within the continental United States. The move was quickly matched by rivals.

“This represents the second broad-based domestic increase, out of four attempts this year,” said JP Morgan analyst Jamie Baker in a research note.

By Sunday, the top five U.S. airlines all had raised fares.

The carriers that participated in the $5 fare hike were Delta, American Airlines, United Airlines, Continental Airlines, Northwest Airlines and US Airways.—MEGHANN MARCO

Airline fare hike survives the weekend [USAToday]
(Photo: Marike79)

Comments

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  1. Lewis says:

    This is a good thing and a step in the right direction. The artificially low fares are not good for anyone.

  2. Buran says:

    Yes, that’s right, just what we need when people are finding their wages not matching inflation: companies that can’t run a business and demanding federal handouts sticking it to you even MORE.

  3. emjsea says:

    A $5 each way fare hike is nowhere even close to being unreasonable.

  4. Lewis says:

    @Buran: Where to begin?

    1) Increasing fares to levels supported by reality will curb (if not eliminate) the majors’ reliance on federal subsidy

    2) If you can’t afford to fly, then don’t. We’re not talking about the price of milk, gas, or medicines here. When did flying become an inalienable right?

    And, despite my sentiment above, I am a sharp critic of the majors, I feel that domestic travel has become positively miserable, and am not in favor of government bailouts. However, steady price increases back to economically-justifyable levels is a fair and responsible practice which, if done right, will benefit travelers, employees, shareholders and taxpayers.

  5. Franklin Comes Alive! says:

    How is Southwest not considered one of the ‘top 5 US airlines’ at this point? Aren’t they the as big as all of the others now, domestically at least?

  6. robrob says:

    LOL @ airline apologists!
    I dont really see how everyone colluding and conspiring to raise up fares as a group is legal, let alone “cool” as Lewis seems to imply?

    also, what makes this clown qualified to label a fare as “reasonable”? didnt see southwest or jetblue raising their fares, which are consistently low (“unrealistically so in Lewis’s book?) and they seem to be healthy. Or at least compared to the airlines who are consitently more expensive yet still beg for handouts and file bankruptcy every other year.

  7. Lewis says:

    “Colluding” and “conspiring” are terms with specific meanings, and the major carriers’ actions here do not appear to meet those definitions, at least not from an outsider’s viewpoint.

    Any clown – this one, or even you – can determine that which is “reasonable.”

    If it’s reasonable for you, pay it.

    If not, don’t.

    The point is, as an unregulated industry which is subject to price elasticity, the carriers can and should raise and lower fares whenever they like.

    Not sure why you’re getting hot and bothered over a fare increase which YOU have the power to completely and totally avoid – don’t fly those carriers! Your outrage would be more understandable if we were discussing medicines, gas, electricity, even cable TV, where consumers have little or no choice.

  8. tomcatv1 says:

    Oh god the sky is falling. The airlines have raised the cost of a ticket by $5.00. Wow they’re greedy. Come on. If you can’t afford $5.00, than stay home with the kids or drive.