Originally Posted by
zkzkz
Miles in most programmes are earned based on distance traveled. If a TATL flight costs 50k then it means you get one free TATL flight for ever 5-6 TATL flights you fly depending on route. It doesn't matter what the ticket price is, you're getting a fixed percentage kickback rebate on that.
If you devalue reward prices then you're decreasing the percentage rebate regardless of ticket price.
This would be correct if all miles were earned by flying. In 1988 that was very nearly the case. Now, I believe most miles are earned from partners who buy the miles from the airlines. The purchase price of those miles does not increase with inflation. It is a market price that can decrease if customers see less value in a mile or if the airline badly needs cash.