I realize this has been discussed before probably, but what do you think:

It seems to me that the generally low quality of service on domestic airlines vs. international carriers is a function of the number of passengers served. Domestic airlines serve perhaps an order of magnitude more passengers, and as an airline grows in capacity and service, it is natural for passengers to receive less attention and a lower level of service -- something which is evident in the increasing discontentment among travelers. (I want my elite status, otherwise I'll be treated like crap; I hate sitting in crowded seating next to screaming children or adults; I want to demand everything that's coming to me, etc.)

Unfortunately, price is the biggest determinant of this -- passengers want the lowest fare, and consequently get the lowest quality of service.

What if airlines sold fewer discount tickets, and expanded the quality of seating, service, etc. instead? Sure, it would cost more to travel, but I think passengers would be happier. Plus, a lot of needless (and sometimes frivolous) travel would be eliminated. (not to mention fuel consumption) You might not be able to visit the in-laws four times a year, or take three vacations, but the rest of the world doesn't seem to complain about it.

Of course, no airline would dare to try this, for fear of being run out of the market. But, do you think an airline's revenue would decrease very much if it tried this? (one of the carriers with an already fairly good hold on the market?)