Winging It on Prices

Spirit Airlines’ announcement that it will charge extra for carry-on baggage yielded the predictable grumbles from fee-shocked travelers. What next? A charge for using the toilet? But as believers in marginal-cost pricing, we have a yen (dollar? euro?) to defend the practice. Indeed, we wish it …

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Did You See…?

Mark Perry’s blog on the unintended consequences of the Department of Transportation’s new penalties for airline delays? Under a rule in effect April 29, a carrier that allows a flight to sit on the tarmac for more than three hours will be subject to a fine of $27,500 per …

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