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Airlines say they have no choice but to pass the increase in oil prices on to passengers in the form of a higher fuel tax? Do you agree?

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Somehow airlines must have been commitment bound to not lower their rates and bogus fees when fuel prices dropped.

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It's not tax. It's a surcharge. Personally I think fuel is part of their overall costs and should be included in the total price of the ticket. Tacking it on as an extra - often at the last minute - is deliberately intended to disguise a price increase as a tax.

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Remember the good old days when you could get an extra pillow or meal by simply just asking for one or find complementary toothbrushes, Q-tips and shaving gear in the toilets. We were living large in the 90's. Airlines have been cutting such services short for the last 10 years in an attempt to counter the rising price of american oil, cuz really, its all america's oil now isn't it.

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Personally I think fuel is part of their overall costs and should be included in the total price of the ticket.

Totally agree. It's not as if I can say, 'I think I'll not bother with the optional extra of fuel' and pay a lower price.

Just factor it into the total price of the ticket and be done.

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Thai Airlines is one carrier that actually includes the fuel tax in the advertised fare. I wish they all would. But why has the price of fuel shot up so much in the last six months anyway? What is causing it? Anyone knowledgeable on the subject know?

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What ADK99 said.

It's gouging. Add it to the price. It's not like I'm buying a ticket for an unfueled plane. Costs are the airlines' problem.

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I agree with ADK99, too. In every other industry, the price includes expenses. Other industries have been affected by the cost of oil as well, but only airlines get to post misleading prices. The conversation goes something like this, "Sure, you can fly to San Francisco for 35000 yen, as advertised, but oooops, the fuel surchange is an additional 35000 yen...." Puleeze!

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ADK99 took the words out of my mouth. Without being familiar with airline accounting proceedures and a bunch of other details of things like with the oil industry, its hard to say anything about the voting options though.

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"Airlines have been cutting such services short for the last 10 years in an attempt to counter the rising price of american oil, cuz really, its all america's oil now isn't it."

You could not be more willfully blind. 90 percent of the oil on the world market is held by nationalized corporations and OPEC, which excludes the US, is a cartel.

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Gees! Even the price of bread is effected by oil prices, so why wouldn't airline tickets be?

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The airlines are the Peak Oil canaries in a coal mine. First, airlines will go bankrupt, then demand gov't buyout, then service will continue to drop. Corn oil doesn't power a plane. Or Palm oil or what have you. There's not enough energy density. Enjoy it while you can. It'll be a few years yet.

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If you want any airline, nationalize them. The only way to finance their losses are with taxes. Because it's not going to be the tourists if nobody can afford a ticket.

Eventually the fuel will have to be saved for overseas flights, and leave domestic travel to electric powered trains

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Gees! Even the price of bread is effected by oil prices, so why wouldn't airline tickets be?

Then they should be reflected in the advertised prices of airline tickets, without any after-the-fact slight-of-hand surcharges.

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It is not a tax, it's a "surcharge." Assuming they drop the prices commensurately when fuel costs go down, it's acceptable. Of course they can price themselves out of the market. I sure wish Japan would get with the rest of the world and approve open sales of charters, since that would work to the advantage of carriers and consumers.

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Airlines are always on the edge of bankruptcy - and many have failed over the past 20 years. Clearly they are NOT "price gouging" ... in fact they're barely getting by.

I think many people remember the "boom" of the 1950s and 60s as the jet age kicked in. THEN airlines were making lots of money. NOW however ....

So yea, like it or not, when a basic like fuel becomes noticibly more expensive they HAVE to add something to the ticket price. Some complain that they're slow to reduce prices afterwards, but remember that they're always behind the curve here ... they don't charge more until fuel prices have been high for awhile, ergo they have to make that up by letting higher prices linger for awhile too.

If you're really worried about where your money is going, check your mobile phone bills ... and where your government is spending your taxes ........

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when a basic like fuel becomes noticibly more expensive they HAVE to add something to the ticket price.

When an ingredient for any product or service increases noticeably, I don't complain but when they ADVERTISE a price of X but add on and add on and add on until the Actual Price is 3X, I complain. Truth in advertising should apply to airlines as well as bread manufacturers.

And JT, it's not a tax, it's a surcharge (only the government can tax something).

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ONE WORD: LIBYA

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The airlines can just price themselves out of business for all I care.

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I think it's natural that airline ticket prices will increase. If cutting trees were to become more expensive, paper books should also become more expensive. Similarly, if dog innards were to become more expensive, McDonald's hamburgers should also become more expensive, and so on.

Apart from the advertising problem others have mentioned, there's another problem of how much travel agencies get. When you introduce a new fee, travel agencies will definitely increase the amount to earn more commission. When I worked at a travel agency years ago, we took 20% commission for international flights (specifically, we charged an extra 20%) and would've taken more if there were a fuel surcharge.

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airlines is a money losing business but lots of money flows thru it.

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I agree with a lot of the comments that perhaps the airlines must pass on the fuel charges to the customer, but put it in the initial ticket price. As someone said even the price of bread is affected by high oil prices. But it is not like when you go the the supermarket and they advertise Y120 for a loaf, and then when you get to the register, and the bread is scanned an extra Y40 is added, nobody would buy. Also, why don't airlines become more flexible with their surcharges, they set them every 4 months, so even when the price of oil goes down, the keep the prices for the longest period.

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Also, why don't airlines become more flexible with their surcharges, they set them every 4 months, so even when the price of oil goes down, the keep the prices for the longest period.

Simple answer is that the airlines hedge the cost of oil on the markets. Through a financial instrument, they can guarantee that they will be able to buy fuel at $X per barrel for a certain period. This then allows them to fix the price, which makes life a lot easier for travel agencies etc.

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smartacus:

" But why has the price of fuel shot up so much in the last six months anyway? What is causing it? Anyone knowledgeable on the subject know? "

Obama and Sarkozy shooting up Libya surely has something to do with it.

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