To encourage social distancing during COVID-19, Delta Air Lines did not sell the middle seat on its flights that had them & raised its fares by 15%; therefore, passengers paid $23 to prevent a stranger from sitting next to them

The value of space during a pandemic. Max J. HymanaIan Savage. Economics Letters, August 11 2021, 110039. https://doi.org/10.1016/j.econlet.2021.110039

Highlights

• Delta Air Lines did not sell the middle seat in 2020 during the COVID-19 pandemic.

• Its principal rivals sold all seats starting in July 2020.

• Delta raised its fares by 15%.

• Passengers paid $23 to prevent a stranger from sitting next to them.

• Delta had to operate more flights, so this was not a profit-enhancing strategy.

Abstract: To encourage social distancing during the COVID-19 pandemic, Delta Air Lines did not sell the middle seat on its flights that had them. In the second half of 2020 its principal rivals, American Airlines and United Airlines, continued to sell the middle seat. Analysis of U.S. Department of Transportation airline ticket data on 1,358 domestic routes finds that Delta raised its fares by 15%. Therefore, passengers paid $23 to prevent a stranger from sitting next to them.

Keywords: AviationPandemicPrice discrimination