Posts tagged exploitative economic system
Flight Prices
Sep 24th
Thomas Cook customers in shock over flight prices
By Katie Hope Business reporter, BBC News
https://www.bbc.co.uk/news/business-49805534
“Thomas Cook customers have accused airlines of cashing in on the holiday firm’s demise after being faced with high bills to book replacement flights.
People who booked flights with the company, now trying to find replacement deals, told the BBC that in some cases prices for the flights have tripled.
Holidaymaker Angela Mills said a flight from Glasgow to Rhodes, Greece, was £280 on Sunday, but was now £1,000.”
This is full on exploitation and seems to be the behaviour of an economic system that has reached maturity. For instance, in Albuquerque, New Mexico, USA, there is an annual balloon festival lasting for a week. For many years, almost all Albuquerque motels raise their price significantly, some nearly double, for that week. Two years ago, I only found one motel, where I stayed, that did not raise their price. last year, that motel followed the rest. For many miles around Albuquerque, prices were significantly higher. In California, south of San Jose and down to at least San Luis Obispo, motel prices nearly double every Friday and Saturday nights. The answer to how much is your house worth? Is what somebody is willing to pay. The principle, of course falls under the subject of supply and demand. Notice the screaming absence of cost of production here. In many restaurants in the UK, the cost of a couple of the cheapest vegetables on a plate is right up there with the cost of a plate of 1 veg, a roast potato and roast beef. So, actually you pay for the room you take up in the restaurant.
No wonder Russia finally adopted capitalism!
“John Strickland, an airline analyst at JLS Consulting.”
“If the airlines don’t make profits where they can on a minority of flights then they don’t stand a chance of surviving.”