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Old 6th August 2011 | 01:59
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galaxy flyer
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Joined: Dec 2002
: ATP+Mil
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From: Where the Quaboag River flows, USA
First, the FAA shutdown did NOT cost the US a dime--US citizens and US airlines just didn't collect the tax, so it remained in the economy, not in the government's hands to waste.

EAS is a silly, wasteful program that subsidizes air service to communities that do not justify air service except when it is politically expedient.

WRT, the NMB has run union elections for decades without the interference of political masters who are answering to the their paymasters--organized labor. Suddenly, they change the rules after the previous election rules resulted in the most unionized industry in the US. This, and the Boeing/SC case, is just another example of this administration's role in this weak "recovery".

Ditchdigger

That the airlines could "pocket" the taxes and not pass on the difference in price to the consumer says more about the short-term elasticity of demand than airline management "spitting" at the consumer. It appears that, in the short term, tickets are pretty inelastic and, when you think of it, that makes sense--are you going to not buy a ticket, if you don't get the tax back. You were ready to buy the ticket with the tax.

GF
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