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Are Airlines Conspiring to Keep Fares Artificially High?

I was reading an article about Air Canada being named in a proposed class-action lawsuit launched in Vancouver saying that airlines allegedly conspired to keep airfares artificially high. The article goes on to say:

The lawsuit alleges that Air Canada and several large U.S. airlines conspired to limit capacity on their routes, in order to inflate airline ticket prices.

I’m not sure if there is a conspiracy, but I am curious to find out how far this lawsuit goes. We often seen lawsuits that rise up only to disappear and not hear much about it.

Hopefully this one has the potential to reveal a lot of what is happening in the industry. I will definitely want to follow how to progresses.

I still feel that it is still a demand and supply issue. Because there is so much demand for airline services, they can keep the prices high. Even if there was in a fact a conspiracy, they can only do it because there is such a high demand for these services.

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