Hello everybody and thank you for tuning in to the weekly report.

Government kills the spirit.

One of the industries hardest hit by the spike in fuel prices caused by the Iran war is airlines. Jet fuel prices have doubled since the start of the war.

Airlines have reacted to the fuel price increase by raising fares and baggage fees as well as by cutting roots.

Raising prices is not a good option for budget airlines

since their main appeal to consumers is low prices.

Increasing prices could cause these carriers to lose business.

The financial strain from the increased fuel costs

led discount airline spirit to ask the Trump

administration for a bailout. President Trump said a bailout would be conditioned on Spirit giving

the government an ownership stake in the company. Spirit was unable to reach a deal with the government, so Spirit went out of business on Saturday.

However, several other budget airlines are seeking a government bailout.

Spirit has been struggling for years. In 2022, the airline sought to get on better financial footing

by merging with fellow discount airline JetBlue. The merger may have allowed for more effective

competition with the dominant carriers. However, the Justice Department

successfully opposed the merger in court on the grounds it would lead to more concentration

in the discount airline markets. This is one of many examples of how an aggressive approach to antitrust enforcement

can harm businesses and consumers. Spirit is not the first business President Trump has

considered having the government invest in. For example, in exchange for government approval of Nippon Steel's acquisition of U.S. steel,

the government was given a golded share, allowing the government to overrule decisions made by the company

that the government determines are against U.S. national security.

Among the other companies, the government has obtained an ownership interest in are several mineral mining companies

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