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ProblemExplorer • yesterday at 10:23 PM • 1 reply • view on HN

> Airlines lower the price because they have unfilled seats that are not selling at the current price

This is rarely the case for popular routes. Airlines lower the price for popular routes to increase margin per utilization which is why skiplagging is not encouraged because it decreases the margin per utilization.

> they're maximizing profit by rapidly adjusting their service to the supply-demand curve

if they were doing that, they would be booting off customers who paid less than those on the wait list.


Replies

verall • yesterday at 10:45 PM

> if they were doing that, they would be booting off customers who paid less than those on the wait list

If it was legal they would definitely do this. And the times they are allowed under the law to boot paying passengers, it is definitely someone in economy