First, to fly provided good service but was expensive. Then the service was bad, but it was at least cheap. Now the service is getting worse and more expensive. You must love deregulation! All that and more in The morning shift for Wednesday, November 17, 2021.
1st gear: Airlines can do as they please, I guess
Today’s emblematic headline about increased deregulation and reduced quality is Wall Street Journals «Airlines rewrite the rules for Frequent-Flier programs — again”Which describes how there is nothing in the books that says that frequent flight programs must be good, or fair, or even about flying often. From WSJ:
Those who are really frequent flights will get some extra benefits, and business travelers who do not take as many trips will be able to increase the status with their expenses. Small business owners and others who use their credit cards a lot now can be a top dog at American before they ever lift the buckle on a seat belt.
Who is going to lose? Flyers who qualify only by flying long distances on cheap tickets. Expenditure requirements and credit card use are becoming even more important.
Loyalty programs have long been aimed at business travelers who usually pay higher prices and room rates than leisure travelers. Status levels with special benefits such as upgrades and priority lines now create loyalty for business travelers.
But business travel have remained depressed. This has led airlines to strive to find out how they can maintain their status grounded customers so they remain loyal as they continue to travel.
We deregulated flights in 1978 and As early as the mid-1980s, people had figured out that we would end up with cartel-like conditions, where airlines can all come together to make the product as dirty and expensive as they want.
This is just one of those things that gets worse and worse forever, right?
2nd gear: US gets the right to work as a climate leader by… holding its largest oil and gas sales ever
If you actually had any hope that the Biden administration would become the global leader in climate as it said it wanted to be, I have bad news from Boston Globe:
The Biden administration has promised to make climate change a top priority. But Wednesday morning it holds the largest offshore oil and gas lease in U.S. history. Wait, what?
The auction, which is set to begin at 10.00 Eastern Time and will be broadcast live from New Orleans, will open over 80 million acres of the Gulf of Mexico for fossil fuel drilling. It is an area larger than the whole of New Mexico.
Wednesday’s sale will be the first to be held during Biden, but it is first part of an oil and gas program developed and approved under Trump.
The sale comes just days after the end of the international climate negotiations in Glasgow, known as COP26, where White House officials tried to position the nation as a climate leader and different from the Trump administration
Before the economic conditions for polluting the world change, do not expect to see us get anywhere.
3rd gear: Rams Revoked
Nearly a quarter of a million Rams will have to return to the dealer due to a problem with the fuel pump, which Car news reports:
The affected vehicles are safe from 2019 and 2020 RAM 2500 and 3500 powerful pickups and Ram 3500, 4500 and 5500 chassis cars equipped with 6.7-liter Cummins turbodiesel engines. The recall covers an estimated 222,410 vehicles in the United States, 20,539 in Canada and 3,525 in other markets outside North America.
The high-pressure fuel pumps on the affected vehicles may be subject to “accidental wear and tear that could contaminate their metal chip mechanisms,” which could result in vehicle jams or power outages, Stellantis said in a statement Wednesday.
The dealer will only replace the bad fuel pump, update the control module software and fix anything else that is broken in the fuel system.
Fourth gear: Tesla is fighting against the racism case losing
I’m not surprised by this given Tesla’s record of racist working conditions, but you have to wonder what the math is here. Tesla is on the hook for $ 137 million, but what else does it lose on public opinion fighting the case?
Tesla Inc. asked a judge to set aside a $ 137 million “swindling” sentence in favor of a contract worker who accused the company of not protecting him from widespread racism at its Northern California factory and ordering a new trial.
The October 4 award to Owen Diaz of jurors in the San Francisco Federal Court is believed to be one of the largest in the history of the United States for an individual plaintiff in a case of racial discrimination.
Tesla said in a case before a US district court in San Francisco that although the jury thought Tesla “could and should have done more to eradicate alleged racism at the factory”, the award “just can not stand”.
This argument has about as much depth as “because I do not want to.”
5th gear: Follow the stock values
Yesterday we reported on Rivian’s share value approaching VW. The overtaking has taken place, per Financial Times:
The electric car company Rivian has passed Volkswagen in market value, while rival start-up Lucid surpassed Ford, as the shares in their largely untested companies continued to rise after their recent IPOs.
The market value of Rivian, a pick-up and van group backed by Amazon and Ford, rose above VW after the stock rose 15 percent to close at $ 172 on Tuesday. Rivian’s value has doubled to $ 153 billion since the move first on November 10.
VW, the world’s largest carmaker, generated 9.7 billion euros in net profit last year and sold 9.3 million cars globally. Rivian, founded in 2009, has no meaningful income
Meanwhile, Lucid has also passed Ford, pr WSJ:
Shares of Lucid, a maker of high-end electric cars, rose nearly 24% Tuesday to close at $ 55.52 per share, following Monday’s release of its first financial results as a public company. The rally pushed the company’s valuation to $ 89.3 billion, which exceeded Ford for the first time since Lucid’s debut in the public markets over the summer.
Lucid also edged closer General motors Co., which at the end of Tuesday was worth around 91 billion dollars
Jalopnik’s attitude is that you should not take any of this so seriously. Margins are close and the stock price may fall today and suddenly they are not worth as much.
Conversely, planes are like ships in that pilots always see the supernatural
Neutral: How are you?
All the summer plants have been cut and pulled, and I wonder if I should plant some bulbs in the back or what.