[Senator Clay Davis]

Interestingly enough, Canada has a discount/low cost carrier. Its called Westjet. People might be surprised to know that, but really they base a lot of their business model after Southwest Airlines (the only US Airline to be profitable every year of its existence). The reason their prices aren't crazy cheap like the US is mostly due to taxes and lack of demand. As has been pointed out, because Westjet has a limited number of destinations, mostly within Canada, they can't get the kind of volume that drives down costs.