Even after the government gave private airlines contracts to fly the mail, it was still difficult for airlines to make passenger flight profitable—resulting in further subsidies from the federal government to encourage airlines to carry more passengers.
Many early airlines attempted to make a profitable business from transporting passengers, but every one of these efforts failed due to high operating costs. Even after the government gave private airlines contracts to fly the mail, it was still difficult for airlines to make passenger flight profitable—resulting in further subsidies from the federal government to encourage airlines to carry more passengers.