Why airline prices fluctuate so much within a matter of a day?

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Is there solid justification? It’s annoying that it can’t be a solid rate unless some kind of natural disaster or surge in location specific travel happens. And why does booking months/weeks seem reasonable prices but within a few days it’s astronomical?

In: Economics

6 Answers

Anonymous 0 Comments

It costs the airline the almost same amount to fly an empty plane as a full one, so they play games with the prices to make sure every flight is full of paying customers. So they give you cheaper tickets when you buy in advance because it’s easier on them if they know that they’ve got someone partying for at least that seat. If there’s a flight that’s half empty leaving at 6 in the morning, they mark those tickets down to try and fill it up.

Also, most of them have a fancy computer algorithm setting prices, which is efficient for business but can give strange looking results.

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