Tag: competition

United Airlines, Monopoly/Oligopoly, The Natural Laws of Capitalism

From: http://newyork.cbslocal.com/2017/04/15/united-airlines-new-policy/

The recent incident in which United Airlines used the Chicago Police Department to enforce its corporate policies has already roused plenty of comments. Many have focused on the clumsiness, even callousness of the policy and its later justifications by senior managers. This is missing a more telling point about airline travel today.

In the US four airlines control over 80%1 of the seats and in many regional markets the competition veers towards a state of monopoly. There is simply no effective competitive controls on what the airlines can charge and under what conditions.

  1. corrected from 60% on 4/20/17 []