The Economics of Private Jets

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    Music by epidemicsound.com
    Select footage courtesy the AP Archive
    References:
    [1] www.census.gov/quickfacts/fact/table/US/SEX255218; newflightcharters.com/private_jet_charter_flight_pricing.htm; www.charterhub.com/listings/aircraft/for-charter/list/?Mdltxt=G550&Manu=GULFSTREAM&mdlx=exact; www.privatefly.com/us/private-jets/longrange-jet-hire/Gulfstream-G550
    [2] hbr.org/2018/07/the-leaders-calendar#what-do-ceos-actually-do
    [3] www.epi.org/files/pdf/130354.pdf
    [4] www.bloomberg.com/opinion/articles/2017-10-31/in-defense-of-corporate-aircraft-no-really
    [5] www.linkedin.com/pulse/tesco-wal-mart-private-jets-fabrizio-poli/
    [6] uk.flightaware.com/resources/registration/N455DG
    [7] www.corporatejetsolutions.com/PDF/Aircraft%20Comparisons/Citation%20VII%20vs.%20Hawker%20700%20vs.%20Lear%2045.pdf; awin.aviationweek.com/portals/awin/pdfs/BCAOpPlanningGuide/2012_Production.pdf; www.aopa.org/news-and-media/all-news/2015/november/16/hourly-operating-costs-of-45-jets-compared
    [8] www.symmetry.com/resources/payroll-news/2017/11/13/how-many-working-days-are-in-a-year
    [9] corporate.walmart.com/media-library/document/2019-environmental-social-governance-report/_proxyDocument?id=0000016a-9485-d766-abfb-fd8d84300000&mod=article_inline
    [10] www.stratosjets.com/private-jets/bombardier-7500/; www.trilogyaviationgroup.com/jet/Global-7500; www.privatefly.com/us/private-jets/longrange-jet-hire/bombardier-global-7500
    [11] www.economist.com/business/2012/04/14/winging-it
    [12] www.eia.gov/environment/emissions/co2_vol_mass.php; data.worldbank.org/indicator/en.atm.co2e.pc
    [13] www.economist.com/business/2017/02/16/why-bosses-are-flying-more-for-play-not-work
    [14] papers.ssrn.com/sol3/papers.cfm?abstract_id=529822

Comments • 80

  • Wendover Productions
    Wendover Productions  8 months ago +976

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    • Jessie Matthews
      Jessie Matthews Month ago

      Your math doesn't add up mate

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      matt jakob 5 months ago

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    • Ferdinand
      Ferdinand 8 months ago

      @Tiogshi Laj
      Right? I miss the old voice. This sounds like he's talking through a thick blanket.

    • Kristian Canoy
      Kristian Canoy 8 months ago

      Hi Wendover!! I want to request a video about how airline alliances work. (Star Alliance, SkyTeam and Oneworld)

    • Wubbalubba dubdub
      Wubbalubba dubdub 8 months ago

      you could also make a video/podcast about tahiti. our company is shipping a package there from europe for 7€ with dhl, even though it's on the other side of the world from us. the french goverment seems to subsidise shipping cost to french polynesia.

  • Fonzi2626
    Fonzi2626 Day ago

    I thought executives are not allowed to fly together on the same flight. The bombardier flying from bentonville to Manila would not be feasible then.

  • FireOccator
    FireOccator 3 days ago

    Have they tried phone calls?

  • Gurlok LeVert
    Gurlok LeVert 23 days ago

    Oh, yes. The hard working CEO, yes. The guy who's work is so valuable that he gets paid in a day what his employees make in a year.
    Such hard working, very rich, much chop chop.

  • Douglas Davis
    Douglas Davis 24 days ago

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  • Ju James
    Ju James 25 days ago

    Very good

  • PatheticTV
    PatheticTV 26 days ago +1

    6:35 just fyi philippine airlines offers nonstop flights from lax to mnl, i think

  • Samuel Xie
    Samuel Xie 27 days ago

    Which jet is better Gulfstream G700 or Bombardier Global 7500

  • Cedric K. Hal
    Cedric K. Hal 27 days ago

    Flying around the world see you soon

  • MikePlaysIt
    MikePlaysIt 28 days ago

    Yeah and the majority of that traffic at Walmarts airport there are booked by Bloomberg to he can personally fly in and buy Walmart and Walmart's CEO's stance on gun control. Look at their updated policy, mentions their partnership with everytown for gun safety and you know damn well walmart got a big piece of those multiple 7 figure donations that were constantly anonymously made to every joyable anti-gun "charity".... lol

  • Tuneitupful
    Tuneitupful 28 days ago

    Some thing called Skype anyone....?!

  • Justin Jones
    Justin Jones Month ago

    I live in Bentonville

  • C.C. ORR
    C.C. ORR Month ago

    Lol what a stupidly titled video
    Can only be the brain child of an American

  • Aaackermann
    Aaackermann Month ago

    So these people earn so much money, that it is more cost effective to give them even more money to spend on an overpriced LearJet normal people could not dream of.
    That is capitalism in a nutshell.

    Good flight, good night!

    • Aaackermann
      Aaackermann 16 days ago

      ​@Carlos Crespo I don't think you have understood how capitalism works. You won't "starve" because big players don't get money! Where do you get this idea from?
      We are talking about the utter extremes here! They are who take away money and food from the poor.
      Please make good money! No problem at all! But the difference between "good money" and the amount we are talking here is astronomical!
      And where do you get the idea from, that I wish my life would be better? I am very happy. But I know how bad life is for others. And I know the cause! That is what makes me angry!
      You are afraid to starve? People actually starve BECAUSE of these "big players".
      For heavens sake!

    • Carlos Crespo
      Carlos Crespo 16 days ago

      No. Capitalism got them there. Please don't sit there waiting for me to get into a mega jet and go make some big deals that will probably make your life better. Don't hold your breath because I don't have any money. I'm glad somebody does, otherwise we would be starving.

  • Valente82
    Valente82 Month ago

    05:30 - Since when is Spokane etc... in the “northeast” 😂

  • Mike G
    Mike G Month ago

    Don’t let Al or Greta see this video

  • Alpha Diallo
    Alpha Diallo Month ago

    Very nice

  • Robert Kreamer
    Robert Kreamer Month ago

    You are simply a jealous lefty
    And carbon dioxide only makes up 3 percent of the atmosphere so buckle up buttercup and get a life

  • John Newman
    John Newman Month ago

    Anyone who flys commercially for work knows about the ...... “travel day”

  • Timo 555
    Timo 555 Month ago

    A normal first class flight from london to Dubai costs more than 3.000€... normally the business class for this flight with Emirates costs 2.500/3.000€ and more so per person

  • Owen
    Owen Month ago

    Loved this video

  • Steve Brown
    Steve Brown Month ago

    It's not so much their salary that justifies the cost of different travel methods, but it's the value of their productivity to the company that helps justify the cost of private jets.
    In your example of Walmart managers, the better question to ask is what is the value to Walmart of a regional manager being able to do 400% more store visits in a year. I'd venture a guess that the value add from that perspective is a lot more than what their take home pay can justify.

  • Two Point Us
    Two Point Us Month ago

    Cars and private jets have one thing in common: they fuck the environment to individualize transport.

  • Spy Living TV
    Spy Living TV Month ago

    As someone that used to insure these machines a few things to note... The low and mid end of corporate jets got hit but last time I checked... there is still a two year wait for a G550. And the value of used G550's actually increase because of the wait list. Another thing to note, most companies do not allow executives to fly on the same airplane. If jet goes down with 5 company executives on board, it can really hurt the company. So sometimes it's not just the lack of flights to areas but the fact that they won't allow two regional VP's to fly on the same plane. Finally, look in just about any Fortune 500 compensation data and you will see the CEO gets their salary grossed up to pay for taxes on using the Jet for personal use. It is one thing that bugs the hell out of me.

  • Thoreau
    Thoreau Month ago

    Fk the environment, as long as I'm rich.

  • Jay blade
    Jay blade Month ago

    Orrrrrrrr, now hear me out here, you could FaceTime

  • Tapan Das
    Tapan Das Month ago +1

    Congratulate me. I will be able to fly all over the world very soon. I'm so happy Microsoft flight simulator is releasing in 2020😂

  • Ricky Hansen
    Ricky Hansen Month ago +1

    Time is money, plain and simple.

  • Cory Johnson
    Cory Johnson Month ago +2

    economics? sounds more like social justice warrior nonsonse.

  • Jeremy Bell
    Jeremy Bell Month ago +1

    Here to see the people who aren't worth a coach seat on Southwest cry. Also, is this a CBA on executive time or a greenp8ce schtick?

  • Dan Harris
    Dan Harris Month ago

    Can confirm. My brother in law is a Walmart semi big-wig. This is exactly how he does his monthly store visits to western regional markets.

  • djikan gabric
    djikan gabric Month ago

    Amazing video

  • TheJalipa
    TheJalipa Month ago

    By over paying your Executives - you too can justify a Private Jet

  • Clyde Dooseldorph
    Clyde Dooseldorph Month ago +1

    I have flown private a lot and it comes down to this, if you can afford it do it. I think for companies it is a perk for the upper few but it's also a great tool to get into small airports and save time.

  • Ryan Younggreen
    Ryan Younggreen Month ago

    Has nothing to do with Economics. Video should be titled "The costs of Private Jets". Much closer to accounting than economics.

  • DJ Sunkisst
    DJ Sunkisst Month ago +1

    companies also do this because they have enormous profits and they’d have to pay substantial taxes on that profit. instead of paying taxes, they’d rather invest back into the business and make their business grow. they can see that they’re going to owe a lot of money in taxes...and then figure out where to put that money. and if they put that money into private jets, then it’s less taxes they they have to pay. sometimes it just makes financial sense to buy a jet.

  • J R
    J R Month ago +1

    Nothing is more valuable than your time

  • Dmac K
    Dmac K Month ago +1

    Security alone, makes the dollar argument pointless.

  • Morris Rose
    Morris Rose Month ago

    EXCELLENT VIDEO... I've often asked that very same question... Is it really worth the enormous cost of traveling a private jet over first class in an airliner ?... Fantastic machines, though. My favourite is the Bombadier Global 7500 and... :) the Dreamliner 787-9 :) :)

  • Scooty789
    Scooty789 Month ago +1

    so when is half as airworthy coming?

  • MWB Gaming
    MWB Gaming Month ago +2

    This channel is like a bag of lays chips
    90% air

  • Arthur Wallis
    Arthur Wallis Month ago +1

    I think you're over using the word Optics.

  • Pleb Plays
    Pleb Plays Month ago

    6:39 finally a legit Walmart
    Plus it is better than our offbrand Walmart Called Walter mart

  • Aviation Now
    Aviation Now Month ago

    5:30 not too sure that’s the north east mate

  • Tarek Alhussayni
    Tarek Alhussayni Month ago

    Let's see how he makes this about planes

  • Artificial Avocado
    Artificial Avocado Month ago +1

    These assholes better enjoy it this shit will end when progressives take over.

    • Thoreau
      Thoreau Month ago

      Keep dreaming... you unemployable pot-head commie.

  • Lucas Lin
    Lucas Lin Month ago

    This assumes the executives are just sitting in the plane twiddling their thumbs - which NEVER happens. They always have documents, pitches, emails to review even if offline.

  • Ellen Tani
    Ellen Tani Month ago

    It's not Economic
    It's Suicicedal

  • betty boop
    betty boop 2 months ago

    What is the cost of putting 19 top executives on the same aircraft and it crashes.

  • Dew Time
    Dew Time 2 months ago +1

    lol at climate change

  • Chris M
    Chris M 2 months ago +1

    Reasons to use a private jet:
    1. Leave at whatever time you want.
    2. Only fly with people you know. If anyone.
    3. Eat food you want, when you want.
    4. If you are flying from NYC to St Louis and you realise you need to do something in Detroit, quick chat with the pilots, problem solved.
    5. You can use pretty much any airport you want.
    6. You dont have to wait for (possibly) hundreds of other people with their screaming kids to get on and off.
    7. If you get stuck in traffic on the way to the airport, the plane will wait for you.
    I could probably list another 10 or 15 things but you get the idea. Its safer, easier, less stressful and, let's be honest, more fun. If I had the money I'd fly private all the time.

  • TheMatissV
    TheMatissV 2 months ago +1

    CEO's to each other: "HEY! Let's pay each other exorbitant amounts of money so we can convince people it makes economic 'sense' to fly via private jet. F climate change. F the poor, let's call it a business expense and get a tax credit!"
    Oh, humanity...

  • Ron Hunter
    Ron Hunter 2 months ago

    You have to understand a private jet is by definition, private. Another is jt is much easier to get work done or meet with the other executives than on commercial. There is much more to it than what you let on. So lets say it is a 50000 dollar flight but you get a multi million dollar contract because of that trip, it not only makes financial sense, it just made money. Lots of it. And again, it is private. It buys you time and makes you time. If for business. And, it is not horrendus to the environment. Modern jets are pretty clean. It would be nice if you were to actually talk to the people who fly and use them instead of making up assumptions and coming to conclusions not based in fact. I could say this video was not good for the environment. Think of the electricity generated to make this video and to make it available, and make it possible to be viewed. Bad bad bad. Think of the time wasted watching this instead of doing something productive. Wated time because either you do not understand the economics of businesses who use them or there is an agenda at work. What about the car you drove to work? Its horrendous at best. A few co2 molecules added to the atmosphere for a waste of time. Sorry but to someone who spent over 40 years in aviation it annoys me to listen to self appointed experts spout off about thing the haven't a clue about.

  • Cliff Morgan
    Cliff Morgan 2 months ago

    Jealousy is ugly.....

  • Kari Ann Stickle
    Kari Ann Stickle 2 months ago

    So, this is my new absolute favorite channel. Adblock turned off for this channel. One day I will be able to afford to Support this champion channel on Patreon.

  • Random Name
    Random Name 2 months ago

    My guy needs to chill with the climate change shit, it’s never needed for the video

  • TheBeybladeSport
    TheBeybladeSport 2 months ago

    Greta has committed suicide

  • J J
    J J 2 months ago

    We fly private prop planes, which have much different economics than jets, but with all of the benefits.

  • Nkanyiso Maphanga
    Nkanyiso Maphanga 2 months ago

    Buying a private jet is much easier and make more financial sense than to pay the fat IRS bill that these corporations get changed. That's why Walmart is happy to buy so many of them.

  • Suuhls
    Suuhls 2 months ago +1

    And Americans be like "Why is climate change so bad???"

  • Nathan BB
    Nathan BB 2 months ago

    There's a lot of taxes deductions related to jets as well depending on the country its based on... would you rather buy a brand new jet or pay the exact same amount in taxes? This video is extremely superficial...

  • Music n Thingz
    Music n Thingz 2 months ago

    It dosent make sense that you're saying someone has to make x amount of dollars for it to be worth hiring.

  • JRBUISEXCAVATING
    JRBUISEXCAVATING 2 months ago +1

    Is the plane landing in the parking lot of these stores? What about travel time to and from the airport?

  • I.P. Knightly
    I.P. Knightly 2 months ago

    You somehow need to factor in the human suffering of a person in Manilla that has to meet up with a planeful of Walmart executives.

  • Łukasz
    Łukasz 2 months ago +1

    8:20 - View of my home country - Poland (Vistula estuary)

  • Amer Dodokh
    Amer Dodokh 2 months ago

    But that is a 4 sectors flight. Which means that the cockpit crew won’t be able to accomplish it as their duty time is 10:30 hours for that flight.

  • Jeff Williams
    Jeff Williams 2 months ago +1

    Jet costs for Walmart as a percentage of revenue is a rounding error....

  • Last train To Vegas
    Last train To Vegas 2 months ago

    Fuck the CEOs!!! All overpaid for nothing

  • John Kauffman
    John Kauffman 2 months ago +1

    06:00 - How often would 19 officers fly to Manila? 4 would be more realistic number for the denominator.
    And, WalMart would allow 19 officers to fly on one small jet?
    (same earlier with the example of 9 pax on a jet)

  • Khrashing Phantom
    Khrashing Phantom 2 months ago +1

    That American CEO pay breakdown was soul crushing.

  • Ty Wert
    Ty Wert 2 months ago

    Same big corporations pushing Greta thunberg feces, especially in an age they can do their meetings through digital means

  • Datmudkipify | Gaming
    Datmudkipify | Gaming 2 months ago

    Private jets... used by the people who tell us *cough* Trudeau *cough* we need to pay more taxes to save the environment from ourselves. How dare we drive cars!!!

  • The Llama Animations
    The Llama Animations 2 months ago +1

    I wish I had these documentary services, but I’m a frikin 12 year old with no money

  • HasseBrasse
    HasseBrasse 3 months ago +1

    If you send your gulfstream to pick up a potential customer or partner, that meeting is almost garanteed to end well for you. The jet can also be the reason for them wanting to meet you in the first place - who can say no to a private jet ride?

  • Youssef Selkani
    Youssef Selkani 3 months ago

    If you make $1M/year 50k for a flight is a lot

  • ANii COMUNICA
    ANii COMUNICA 3 months ago

    Are you the guy from info graphics??? 🤔

  • richard bearden
    richard bearden 3 months ago

    Walmart can just do virtual tours of their store. For all the expense for being Hands-On not much change takes place...

  • Sally Hillal
    Sally Hillal 3 months ago

    Drastically lower CEO pay and benes . They will work for less.

  • София Сойко
    София Сойко 3 months ago

    انا اعملي في محكومة دولية我工过几形事法院i work at the international court of justiceя работаб в международный суд оонyo trabajo en corte penal international

  • Tony Lam
    Tony Lam 3 months ago

    For your info, many esteemed scientists are telling use now , we need more co2 in the atmosphere. Plants grow better with that and that is what we eat. So maybe we should dump the jets and take steam locomotives (coal) around US everywhere and steam ships overseas.No matter how important a jet is to the bottom line, there will always be a small % of super rich who will use their jet to take their dog to the barber, and they could not care less about the critics.