Continental cuts 3,000 jobs, grounds planes

The high costs for jet fuel are a direct result of international oil supply and demand dynamics. To reduce jet fuel costs, overall oil demand needs to be reduced. As the world's largest consumer of oil, America is in the best position to reduce demand and lower world oil prices. What are the best first steps to reduce demand. For years, America has supported the airline industry...

I know of no example of an airline that shrank itself into profitability. After all, this is a business that seeks economies of scale.

Ocean carriers, especially in US trades, may have to further reduce capacity and jobs to counter higher fuel costs coupled with slower imports. All this can, in turn, create more problems for US exporters trying to fince space on ships in order to sell their products. Air freight forwarders face difficult times as airlines reduce fleets, and therefore freight capacity, in addition to the impact that...