Americans to spend more on travel over holidays

Video: Holiday travel prices to increase

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   >>> airline travelers will have plenty to grown about this holiday season . ticket prices are set to be 7% to 18% higher this year. the reason, demand for air travel is growing amid a modest economic recovery and with that demand comes more crowded flights. eric is a travel expert and editor for travel post. eric , thanks for joining me. 18% increase?

   >> well, what we're seeing is the economy is bouncing back enough that people are traveling at the holidays because it's an important time to travel. the problem is that air fares are always about supply and demand . demand always goes up around the holidays. supply this year is lower because the airlines cut capacity dramatically over the past two years. they haven't added it back. that's why when you fly now, planes are really crowded.

   >> i don't want to make this into a personal beef with the airlineles, but when i bought my ticket yesterday, it was several hundred dollars more than what i normally pay. i looked at the map of seats to select from. there were more than enough seats on that particular flight. that wasn't supply and demand .

   >> the airline knows they'll sell those seats.

   >> i see.

   >> exactly. we have a rule that you basically should be buying your holiday air fares around, you know, before the halloween candy shows up at supermarkets.

   >> so if you don't have your thanksgiving ticket, for example, now --

   >> you're going to pay through the nose.

   >> it's interesting timing. they've just come out with the list of the least-liked airlines, i guess. and based on, for example, how much these airlines charge for bags, if your ticket is 18% more this year plus you've got to pay 100 bucks or 50 bucks for your luggage, that -- that makes you want to stay home.

   >> it's really going to come into play for christmas. they tend to bring gifts and stuff like that. everybody wants overhead space. they're going to end up having to check it, so they'll pay more on that end, too.

   >> so until the airlines start to increase the number of flights, we should get used to paying a lot more?

   >> basically. there's not a lot of good news. what you can do is fly as far from the actual holiday as possible.

   >> then it's not the holiday.

   >> that's true. celebrate thanksgiving in early december and you'll be perfect.

   >> eric , thank you for that sage advice. great talking to you. only you could make me laugh about high prices. thank you. if you don't have your ticket now, you may be in trouble.

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