"stonej" wrote in message
...
I have noticed on an airline web site that flights to a certain
location for Jan. 1
have increased two times in the past two weeks. Does this mean that
demand is high for that flight and the airline is trying to squeeze
every bit
of profit they can by raising the price until the last seat is sold or
could
something else be going on?

It's called yield management.

In its simplest form:.

The first e.g. 50 seats on the plane sell for one price.

The next 50 seats sell for a higher price.

The next 50 seats sell for an even higher price

The last 50 seats on the plane sell for an extortionate price.

If the price has gone up twice it means that 100 seats have now been sold
and you are the guy whose going to have to pay the even higher price because
you waited too long to buy.

tim