3 Responses

  1. mike murphy
    mike murphy at |

    my take on the situation, why would they need to ?

  2. augias
    augias at |

    with so little competition, they can price fix without talking to each other. One airline raises prices for a route, the others all follow suit straight away. It’s an unspoken agreement.
    And then they occasionally pretend to have a half-hearted “fare war” when one airline runs a sale and the others follow. But those are the exceptions! And they usually don’t cost the airlines much since they always happen for routes and times of the year where they have trouble filling the flights.
    Price fixing laws are kind of an outdated tool for this sort of thing. Price controls are probably needed (just caps, on how much tickets and change fees etc can cost)

  3. Trevor
    Trevor at |

    The question this all brings to mind though is, what is DoJ looking for? I’m probably stretching it way to far, to make the connection between this inquiry with stated comments from Virgin America and Frontier’s CEO’s, both stating, their biggest challenge with expansion is gates and slots…