Crash and burn


-Hannah Mead, MCPP Intern, 2008

In response to the airlines’ ridiculous email plea vilifying futures market speculators, Kimberly Strassel vents her frustrations at airlines (HT: Coyote). I found it very therapeutic.

Note that the airline industry is so bureaucratized that it avoids the market forces that keep other service industries serving the customer. Because the payoff is cheaper and bigger if they lobby the government to restrict competition and bail them out in tough times, airlines pander to politicians, not customers. Remember this when you want more government intervention in more areas of the economy. The airlines are a perfect example of a “public/private partnership” — I sure as heck don’t want my health care going the way of the skies.

Also see Josh’s earlier post on oil speculation.

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