this industry I think needs some type of regulation,lets say to fly from A to B, taking in considerations all the cost involved in that particular flight should cost X $$ right? well I would say everybody can flight that route but the ticket price is going to cost X$$ and airlines will be competing to each other on other type of benefits ...like better service,better planes ,and that route will be profitable for everyone involve in it.
the regulator would be controlling minimum prices and watching who is dropping them to bring down other airlines with the intention of monopolized the route.
another thing that nobody talks about is the with this type of capitalism airlines cut cost everywhere they can(to be able to survive) and sometimes putting people's life in risk like AA,SOUTHWEST did flying those MD,737 without complying with the FAA.