ExpertFlyer Hot Topics — Where the Rubber Meets the Runway
In our final Hot Topics installment with Cranky Flier and Cranky Concierge, Brett Snyder, we’ll do a deeper dive into government programs that are designed to help keep service in place to smaller cities.

Photo Credit: Robert Rausch for The New York Times
By Brett Snyder
Last week I wrote about why small cities were losing service, but can anything be done to prevent it from happening? When pure economics doesn’t work, the government often tries to step in. That’s what we see here, but the programs in place are not helping much.
The federal government has two subsidy programs. The granddaddy of them all is Essential Air Service (EAS). When the industry was deregulated in the 1970s, there was concern that some smaller cities would lose service. To prevent that from happening, the government authorized funding to keep service in those particular cities that were at risk. The result was the EAS program, and just like a zombie, it refuses to die.
This program works well in keeping lifelines open in Alaska, but in the lower 48, it subsidizes the wrong kind of service. Most of the EAS markets are served with very small turboprops on a relatively infrequent basis. Tickets can end up being pretty pricey. Many of the cities are close to other cities which already have broader service. The result is two big problems. Continue reading →