Originally Posted by
TonyWilliams
The airlines aren't competing with cars. Sure, when Southwest started flying in Texas, they were. But, since the jet age, a trip from JFK to LAX doesn't.
They compete against other sources of travel, which are typically other airlines. In Europe, it's a good rail system that competes.
I just bought a ticket, SAN to JFK on JetBlue; $120. I threw in another $40 for a preferred seat. Unbelievably cheap. As long as there is a lot of competition (there is on this route), the price will be cheap in a free economy.
If I want to go to SAN to LAX tomorrow, which I can drive in less time than flying, the cheapest fare is $300.
Competition with cars really has no bearing.
Notice I did say that ALL airlines need to raise prices. Usually you will see an airline cut fares, and the others follow. They all need to agree to raise prices in unison, or as said, re-regulate the industry.
The example of JFK-MCO is a good example of air vs. car, most families headed to Disney will either drive or fly.