Fuel costs down, airfares up - local fliers feel the pinch
Robert Long flew into Milwaukee from Mississippi Tuesday night, and he has to make the same trip again over the holidays.
\"It's a lot of money,\" Long said.
So it's hard to blame Long for noticing that airline fares are going up.
\"My ticket cost about $500... these fares, they've gone up a lot,\" Long said.
According to CBS News, Long is right. While US airlines have saved $1.6-billion on cheaper jet fuel during the twelve months ending last September, the price of the average domestic airline ticket has gone up 3.5% over the same period.
Many travelers we spoke with think the airlines should be passing the savings on to them, instead of raising prices.
Instead, CBS News found that domestic carriers are buying new airplanes in record numbers, a move that is popular with some travelers like Richard Myers. \"The older planes just aren't as nice,\" Myers said.
Carriers are also improving terminals and computers, and handing some money over to investors.
Airlines have little motivation to lower prices because demand has stayed high. They are selling a record 85.1% of their seats.