Basic economy fares in the air travel industry and not primarily intended to compete with low-cost carriers or attract price-conscious consumers with elastic demands. The many restrictions on travel, luggage, cancellation fees are designed to make corporate travel agencies not even consider basic economy fares, and instead spend for [...]
This article addresses tradeoffs between efficiency and equity by examining what gives when prices don't. There are examples of concert tickets, essential supply prices following natural disasters, Uber surge pricing, and more. Richard Thaler, Nobel Prize Winner in Economics for work in behavioural economics, is quoted extensively. [...]
The Toronto Star reported on a startup called Beyond Pricing that is helping AirBnB owners increase revenues from their short-term rentals by figuring out the highest price they can charge. The company using a dynamic pricing algorithm like those used by airlines and hotels that raises prices when demand [...]
