Eli5 why airlines tickets from country to country are 20 euro when taxi from town to town is 20

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Eli5 why airlines tickets from country to country are 20 euro when taxi from town to town is 20

In: Economics

7 Answers

Anonymous 0 Comments

Airlines can’t afford to sell all their tickets that cheap. But the difference between flying an empty seat and a full seat is pretty small – a tiny difference in fuel costs. If you sell that seat, even for €1 that’s a euro more than you would otherwise receive. And you might sell a coffee or something to that customer.

A taxi isn’t in the same position. It can sit and park until a paying passenger comes along.

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