Originally Posted by
Aussienarelle
I agree with the micro economic theory you have espoused but the reality is that the IAH-SYD flight is expensive and they are cutting back on the number of flights. I do not know why United does this.
Imo iah is the market where they don't compete directly with QF and ua is trying to maintain a fare premium where it can with capacity discipline in the iah market. The aud at a 10 year low to the usd does not help UAs case which is probably why they cut the capacity. The demand is likely there, but would rather not sell the au origin marginal seats at 64cents.