<<How many of us who slog around for business really need a free flight as a reward? Better just make sure we get the FC seat on the way home in the evening after a tough day on the job out of town. >>

Actually when I travelled a lot for business, I liked the rewards. It enabled us to save a few thousand on a 3 week exotic trip that at the time would not have been possible.

As to FF programs being attributed to the decline in service, I think you can look everywhere in the US at the service industry and while all businesses have toiled endlessly for ways to increase the almighty dollar, they have gradually phased out that better service to increase profits. Maybe it was a way to combat a recession but when the recession ends the service does not return. Airlines make plenty of money from FF programs by selling miles, sending out ads in the FF newsletters, etc. so it makes absolutely no sense to think that service will improve if the airlines eliminate a FF programs which actually are a source of revenue. Also consider that they make the revenue on the miles months if not years before they have to award the flight. Essentially, by the airlines selling miles to partners who award them to customers, the airline is selling a fraction of a ticket far in advance that may not even end up being used if the person does not redeem the miles before they expire.

Also, if a single airline would suddenly end its program, they would probably get blacklisted by many business travellers who would stick with the airlines that give them the miles. So unless the airlines colluded on the matter (which is illegal) it would be pretty difficult to eliminate the programs.