I read an interesting article about the history of airline overbooking from the University of Illinois News Bureau. Julian Simon, a former faculty member in Economics, pioneered the idea back in the 1960’s. Simon “devised the notion of rewarding passengers on overbooked flights if they gave up their seats. The seemingly subtle switch provided a $100 billion jolt to the U.S. economy over the last three decades, says former colleague James Heins.” What the article doesn’t say is that although an economist came up with the idea from which he never profited, operations researchers ran with the idea, accounting for much of the $100B in savings. If you google anything about airline overbooking, numerous operations research papers come up (such as the classic 1985 Marvin Rothstein paper). I am more interested in a more recent history that highlights how operations research has contributed to airline overbooking. Post a link in the comments if you know of any good overview articles. The Travel Insider has a good lay overview of how overbooking works, but it doesn’t mention OR, of course. Link.
September 8, 2009
By Laura Albert
This entry was posted on Tuesday, September 8th, 2009 at 12:04 pm and tagged with aviation and posted in Uncategorized. You can follow any responses to this entry through the RSS 2.0 feed.
One response to “airline overbooking”
Search Punk Rock OR:
- Getting a haircut after a long while feels great! twitter.com/lauraalbertphd… https://t.co/gGCPbM3Kwc 4 hours ago
- Feeling overwhelmed? It's not only because we have more to do. New requirements and being given very little notice… twitter.com/i/web/status/1… 7 hours ago
- RT @BadgerBrackets: Here are #BadgerBracketology's (belated) final #NCAAM men's basketball rankings: 1Gonzaga 2Baylor 3Houston 4Alabama 5US… 9 hours ago
- My 13yo daughter is doing math on the chalkboard wall in my kitchen! 😍 I knew there was a reason I added that chalkboard wall ❤️ 22 hours ago
- RT @DestenieNock: Do you have a PhD and experience in transportation analysis? @DocCHarper and I are looking for a postdoctoral researcher… 22 hours ago
- Could the pandemic prompt an epidemic loss of women in STEM? We have to be intentional about what we do to, otherwi… twitter.com/i/web/status/1… 1 day ago
Tagsacademia analytics art aviation blogs cheese computing conferences cooking coupons criminal justice data decision analysis disasters education elections emergencies environmentalism & natural living finance football analytics grand challenges health healthcare higher education holidays home homeland security humanitarian invited talks lightning lottery march madness math programming mip MODA newspapers Olympics optimization OR in the news pandemic PhD phd support pirates podcast and video Poisson politics probability public policy publishing queuing risk communication sabbatical science communication science fair secretary problem slidecasts social justice social networking sports star wars stochastic processes supply chains teaching teaching with technology traffic Transportation TSP twitter vampires weather werewolves women work-life balance writing zombies