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Airfares going up, up, up
The $50 hike for most of the US’s major airlines last week is only one indication of increasingly higher airline prices that will probably not discourage passengers, according to travel observers.
Airlines can expect more fare increases and lower limits on the number of tickets sold at the lowest published price, said Andrew Winterton, a consultant with American Express Business Travel.
“If airlines are going to stay in business, they have to begin pricing for profitability,” he told USA Today.
The $50 hike was tacked onto unrestricted coach fares in most markets.
One indication of higher prices: the average domestic fare per mile flown was up 12.5% in February compared to a year earlier.
Prior to the past year, average fares had been spiraling downward.
Report by David Wilkening
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