Air fare cuts escape California
Although the Airline Deregulation Act of 1978 was intended to encourage competition among air carriers, leading to a reduction in fares, "this did not happen in California," the state Public Utilities Commission reports.Skip to next paragraph
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It notes that fares within the state have jumped to as much as twice the national average in two years. A los Angeles-San Francisco ticket now costs about $60, compared with $28 in 1978, the PUC points out. The state agency, which had been regulating airlines, says it kept rates lower by considering such factors as better weather in California creating fewer delays.