24 Jun 2025 — 38 min read Basic Economy fares are ultra-restricted airline tickets that offer a lower base price in exchange for fewer benefits than standard economy class. Introduced by major U.S. carriers in the 2010s, these fares have become a widespread strategy for market segmentation - a textbook example of price discrimination in practice. By design, Basic Economy compels travelers to self-select based on their willingness to pay and tolerate restrictions, thus allowing airlines to maximi...