Ben Baldanza's Blog

Watch Out for the Availability Bias!

The “Availability Bias”, sometimes called the “Availability Heuristic”, is a well-documented natural tendency for all of us to over-react to information that is most current or most easily available. This bias can cause individuals, businesses, and governments to make...

Time for a New Airline Reliability Metric

The US Department of Transportation (DOT) has for decades collected and reported “on-time” data for US airlines. This metric is widely reported in the media, and is regularly used as a proxy for “reliability”. Headlines like “Airline X is the most on-time for March”...

Basic Economy Fares, Parts Unknown

A few years ago, Delta Airlines introduced "Basic Economy Fares" as a response to increased pressure from ultra low cost carriers (ULCCs) like Spirit and Frontier. American and United have followed, and the general impression has been that this has hurt the ULCCs and...

Market-Based Health Care Isn’t Scary!

The debate over health care often focuses on what people will lose, rather than what they could gain. The open market has proven itself to be a better and more efficient way to deliver results, and this can work in health care too. Rather than focus on what people...

Tax Reform Should Remove Perverse Incentives

Both lowering taxes and reforming the tax code are an important economic initiatives. The tax code today is a very inefficient collector of government revenue and provides odd incentives through the code. Many "incentives", like the charitable deduction, only apply if...

The Unique Strengths of Ancillary Revenue

Ancillary revenue – money earned for services or features not included in the base product -- has become an important part of airline revenue generation. Spurred by the low cost carriers, but eagerly adopted by larger legacy carriers, ancillary products generate...

Trop-50 Your Business!

A few years ago, juice company Tropicana, owned by PepsiCo, introduced a lower-calorie, lower sugar line of drinks called “Trop-50”. The product has been successful as consumers are increasingly looking for healthier food products for themselves and their children....