SA and efficiency..

In a debate on airlines and efficiency with a colleague aboard American airlines some time back, I vehemently argued that high prices characteristic of SA airlines were symptomatic of structural as well as efficiency problems and that sustainability was questionable given the stronger competition from KA, ET, etc. so the loss did not surprise me....Again, i should say now: The high auto prices in SA is an efficiency, labour wage, union power, and credit market issue...given low GDP pc such prices are unsustainable...either the financial market crashes, or the have-notes will bring econ activity to a halt...give this prophecy some time..it will come to pass Ceteris paribus. For one car in SA, you lose too new cars in UK and US!

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