"The decline is also the result of airline capacity cuts. Many airlines have been cutting unprofitable routes, which reduces the total number of passengers.... fewer flights make it possible to charge higher prices for tickets."
"Logan sees 5% fewer passengers in first half of year; Analysts cite fewer flights, higher prices" by Jeffrey Krasner, Globe Staff | July 19, 2008
Passenger traffic through Logan International Airport dropped nearly 5 percent in the first six months of the year, compared to the same period in 2007, as airlines cut back on unprofitable routes and travelers responded to sharply higher ticket prices.
The decline is also the result of airline capacity cuts. Many airlines have been cutting unprofitable routes, which reduces the total number of passengers. By operating fewer flights, airlines can come closer to filling each plane, Boyd said. In addition, fewer flights make it possible to charge higher prices for tickets.
"What the airlines are saying is, 'At these oil prices, we can't carry you,' " he said. And more cuts could come. Boyd said airlines are continually updating their plans, and they often include canceling more flights.
"Companies attending meetings and conventions are only sending half the people they used to," said professor Israel Shaked of the Boston University School of Management. "What we're seeing is only the beginning."
"American Airlines to cut 1,300 maintenance jobs
AMR Corp.'s American Airlines, the world's largest carrier, will cut 1,300 mechanic and maintenance jobs, accounting for almost 20 percent of the positions it plans to eliminate this year. An additional 200 management and support jobs in those operations also will be dropped, a company spokeswoman said. The hourly employees are among 25,000 at Fort Worth-based American in the Transport Workers Union, the airline's biggest labor group. American disclosed the numbers after AMR posted a second-quarter net loss of $1.45 billion this week as it reduced the value of its jet fleet. American has said it will slash about 6,840 jobs and ground 103 planes to blunt record fuel bills (Bloomberg)."
It's getting more expensive to fly all over the country, thanks to rising fuel costs, but because of other factors as well, the cost of flying into and out of Boston is soaring higher than almost anywhere else. So far this year, domestic airfares at Logan International Airport have risen twice as fast as the national average.
Not really a surprise, is it?
Here's a solution, Americans: DON'T FLY NO MORE!!!!
