Major Cities May Morph Into Minor Ones: Are Airlines to Blame?
http://thekojonnamdishow.org/shows/2012-03-20/major-cities-may-morph-minor-ones-are-airlines-blame
Over the past few years, cities like Cincinnati and Pittsburgh lost nearly half their air service. Fewer flights and passengers mean spiking prices for travelers. And the trend is felt across the local economies, as major businesses relocate -- often citing the lack of affordable travel options. We explore the impact of declining airports.
Guests
Phillip Longman
Senior Research Fellow, The New America Foundation; author of "The Empty Cradle: How Falling Birthrates Threaten World Prosperity and What to do About It."
Comments
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I frequently fly to Cincinnati to see elderly family members. When flying into CVG, I fly on Delta or United, depending on the flight times. I know on which days to fly in order to get the lowest fare. When I don't have as much flexibility, I fly into Dayton on Airtran and even Columus, which is further from Cincy, on Southwest. What has prevented the management of Delta from being as competitive as Airtran or Southwest? Cincy's airport is like a ghost town while Dayton's Airport is expanding. The fares for Delta and United during the weekdays is astronomically high while there are always bargains to be had on Airtran and Southwest.
Look, rural America is disproportionately conservative. They've voted enthusiastically for "free-market" policies for decades now. This is what the free-market looks like. The "heartland" has always been massively subsidized by the bi-coastal metropolitan areas.
In a decade or two, middle-America will likely lose its mail service--or crushingly high unsubsidized market rates--and they'll wonder what happened.