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Australians Paying Double for Flights?

Australians who are travelling abroad this holiday season are getting the wrong end of the deal because they are paying sometimes as much as twice what travellers from overseas are paying for the same journey.  For example, someone booking a flight from Sydney to London will pay $2800, but someone booking a flight from London to Sydney is only paying $1800.  Flying from Melbourne to Bali costs $1800, but flying from Bali to Melbourne costs only $925.

The price difference is as bad for cruises.  One couple in Australia recently paid $8000 for a cruise while their American friends paid only $4000.  While many wonder why Australians take such a hit when travelling, Tony Webber, an associate professor at the University of Sydney business school and a former economist for Qantas, says it’s all about supply and demand.  If there is a high demand, then the ticket prices are higher and right now there is a strong demand for outbound travel in Australia, relative to inbound travel, so the ticket prices are higher for those travelling out of Australia than for those people travelling into Australia.

The above article is a summary.  Please see the source article at Google News.

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