Outrageous Airfare - Dive Resorts Must React

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Let me point this out - when did airfare become more expensive than the actual resort?

Using Expedia.com I cannot beat the price below for air + AI hotel :

Some outrageous pricing right now with Sears Canada travel, all-inclusive to Costa Rica from the East Coast, plane included, before taxes 545$ per person.

Somehow, somewhere, there is a form of subsidy going on. Possibly the Mexican Gov't footing the bill for the lower airfare - to get more Canadian tourists into the country? Would make sense knowing how much Canadians are traveling more, and tourists in general will spend money on things & services.

How can a full trip 1 week for two to Costa Rica be cheaper than the same "deal" in Cuba?
 
Let me point this out - when did airfare become more expensive than the actual resort?

Using Expedia.com I cannot beat the price below for air + AI hotel :

Some outrageous pricing right now with Sears Canada travel, all-inclusive to Costa Rica from the East Coast, plane included, before taxes 545$ per person.

Somehow, somewhere, there is a form of subsidy going on. Possibly the Mexican Gov't footing the bill for the lower airfare - to get more Canadian tourists into the country? Would make sense knowing how much Canadians are traveling more, and tourists in general will spend money on things & services.

How can a full trip 1 week for two to Costa Rica be cheaper than the same "deal" in Cuba?

Why would the Mexican government subsidize a trip to Costa Rica?
 
Woops, there is a city named 'costa rica' in Mexico...

...but my point is, how an a full week AI + air fare be only 545$ per person, if not subsidized in some way by that government to bring in tourism?

IOW - the point of the OP - talking about the resorts bringing down their prices - it should be that "country" giving incentives to travelers.
 
Woops, there is a city named 'costa rica' in Mexico...

...but my point is, how an a full week AI + air fare be only 545$ per person, if not subsidized in some way by that government to bring in tourism?

IOW - the point of the OP - talking about the resorts bringing down their prices - it should be that "country" giving incentives to travelers.

I doubt it's the government that's subsidizing it. More likely it's the prevalence of first class and full fare customers that allow the airline to discount the remaining seats. For a long time a Boston to San Francisco coach ticket was available for ~$199/round trip. Those same flights were impossible to get an upgrade on (even for the most loyal frequent fliers) because every single premium class seat had been sold at full fare (Often for 15-20x the aforementioned coach ticket). Airlines build a model to hit revenue targets. They do what they can to sell every seat on the plane to achieve those targets. Governments don't generally have a lot to do with it unless the airline in question is directly managed and subsidized by said government.
 
There are still affordable flights to Tobago either directly or via Trinidad with Caribbean Airlines. Tobago is one of the best dive destinations in the Caribbean!
 

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