While some analysts predict a record-breaking summer travel season, travelers have reason to celebrate, as airfares for the United States have continued to fall, now to historic lows. Government data shows that airfares in May dropped by nearly 9 percent from last year, when adjusted for inflation. Additionally, fares have fallen by more than 19 percent, when adjusted for inflation, compared to before the pandemic began in May 2019.
Since deregulation of the U.S. airline industry occurred in 1978, domestic fares, including fees, have dropped nearly 50 percent, when adjusted for inflation.
As American consumers have been affected by inflationary pressures post-pandemic, this is a welcome respite from the airline industry. Airlines for America (A4A) has released a new video, which highlights competition between air carriers—and how this has kept airfares at historically low levels. This has also led to better access to air travel for all Americans, which is why nearly 90 percent of Americans have flown, half of them before their 16th birthday.
The industry notes that between 2000 and 2023, the number of competitors per domestic air trip rose, as did passenger access to lower-cost carriers. For example, in 2021, two new low-cost airlines entered the U.S. air-travel marketplace.
More details are at airlines.org/the-power-of-choice/.
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