• If all airlines on a wide set of routes increase travel prices by roughly similar amounts (e.g. due to the
imposition of new market-wide taxes or to the working through of higher fuel or security costs) then the
decrease in traffic may be less or much less than proportional to the increase in fares. National or
Supra-National increases in airline travel prices, that take place across a broad range of markets, are price
inelastic.