Plain English with Derek Thompson

Why Air Travel Is a Hot Mess Right Now

Jun 24, 2022

Scott Keyes, founder of Scott's Cheap Flights, dives into the chaos plaguing the airline industry amid post-pandemic recovery. He explains how a surge in travel demand, coupled with a shortage of pilots and staff, led to widespread flight cancellations. Keyes highlights the decline of business travel and the shift toward leisure trips, revealing how budget airlines are thriving while traditional carriers struggle. The conversation also touches on the impacts of seasonal storms and the complex economics at play as airlines adapt to the current chaotic landscape.

44:51

Episode guests

Scott Keyes

AI Chapters

Episode notes

Intro

5min

Airline Industry Chaos Post-Pandemic

18min

The Impact of Seasonal Storms on Air Travel Disruption

2min

The Changing Landscape of Air Travel: From Business to Leisure

5min

Navigating the New Air Travel Landscape

12min

The Pinched Hose Economy: Chaos in Supply and Demand

2min

Lately, it feels like we’re surrounded by systems and industries that aren’t working the way they should. There's an oil shortage, and a baby formula shortage, and a used car shortage, and a microchip shortage.

Now, here comes the airline industry shortage. This past weekend, thousands of flights were cancelled because airlines didn't have enough pilots, grounds crew, or planes. People were stranded in airports for eight hours or longer. JetBlue, American, and Delta collectively canceled about 9-10 percent of their flights—between five and 10 times higher than their historical average. And some experts say that if you’re planning to fly at all this summer, things will only get worse. How did this happen? When will it end? Today’s guest is Scott Keyes. He is the founder of Scott's Cheap Flights, a newsletter and business with more than 2 million members. We talk about the origins of the crisis, the economics of the airline industry, and why the decline of business travel is a cannonball in a lake whose ripple effects are wreaking all sorts of havoc.

Host: Derek Thompson

Guest: Scott Keyes

Producer: Devon Manze

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