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A new paper co-authored by Olivia Natan of Berkeley Haas and published in The Quarterly Journal of Economics peers into the black box of airline pricing and finds some surprises. Buy your ticket on a Tuesday. Search in your browser’s incognito mode. Use a VPN to pretend you live in Suriname. “
<p>Researchers looked deeply into the structure and processes behind how prices are set at a major U.S. airline. The system they found, which is representative of airlines around the world, was strikingly at odds with what many economists would expect—and most consumers assume.</p>
"There are so many hacks out there for finding cheaper airline tickets. But our data shows many of these beliefs are wrong."