Air Travel and Airline Passenger Rights FAQ
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How do airlines calculate fares?
3. How do airlines calculate fares?
Airlines determine the price of most airfares through computer programs that calculate how many passengers are likely to book seats on any given flight. In addition, airlines might offer discount fares to avoid flying with empty seats, and they charge more for flights and schedules that are likely to be used by business travelers. Ticket prices may also be affected by competition with other airlines that offer discounted prices. The result of all of these things is that passengers on the same flight could be paying as many as a dozen different fares.