Flights & Money: What Determines Airline Prices?
After the holidays are over, I get anxious to think about traveling I want to do just for me! Oh, sure, I'll take my family along, but it won't be to visit relatives or drive across the state of Iowa. I start thinking of riding on a jet plane.
And then I look up flight prices and groan -- right after the holidays is the worst time to look at your savings account. Why do I do it to myself?
If you've ever wondered why some flights cost more than others, The Cranky Flier has a helpful answer to a reader's question about why some connecting flights cost more than nonstops:
The first thing to keep in mind with something like this is that airlines don’t price based on costs. They price based on demand. When schedules are set at least a couple months in advance, predictions about revenues have been made and the hope is that the flight will be profitable, but airlines never know for sure.
Still curious? Read on!