Airport security and econ 101

Airports are starting to roll out an option for travelers that would allow them to pay $100, give background and personal data to avoid the long lines at airport security. Here's the gist,

These travelers, who paid a $100 fee and underwent a background check to be part of a test program, bypassed the line and stepped into what may be a glimpse of the future — they inserted a biometric identification card into a kiosk that scanned their irises and their fingerprints to verify their identity, placed a fingertip on an explosives scanning device and stood on a scanning platform that determined whether their footwear hid a bomb.

Long time readers (Hi Ma!) know that if Benjamin "Penny saved is a penny earned" Franklin is right, then I'm a $100 richer.

But lets look at the value process. Here's what has value. Your privacy, your time, $100. Company's pay big bucks for your private info, and you can bet that your background test and biometric info are fair game for the Feds, and I'd read the fine print to be sure they can't sell it outright to other companies. So the folks who sign up for the quick line are paying $100 for info that they should be selling. The last thing to value is time, and everyone's time has a different value. So to help you decide if its worth it I did some checking for average wait time at Orlando International from the TSA site on average wait times. I picked Monday at 10 for no real reason.

Security Checkpoint Wait Times

The following wait times are historical averages for Mondays at Orlando International Airport (MCO) between 10am and 2pm. Please note that your personal experience may differ due to weather, airport flight schedules, staffing conditions, holidays or special events.

Airport websites often contain the most current information on airport layouts, airline locations, and descriptions of which terminals or concourses service which airlines. For more information on Orlando International Airport (MCO), visit http://www.orlandoairports.net/goaa/ops/airlines.htm.

Orlando International Airport (MCO)

	10am		11am		12pm		1pm		2pm
	avg.	max.	avg.	max.	avg.	max.	avg.	max.	avg.	max.
EAST Checkpoint	7 min.	18 min.	3 min.	3 min.	4 min.	10 min.	4 min.	17 min.	4 min.	6 min.
WEST Checkpoint	10 min.	20 min.	7 min.	16 min.	6 min.	15 min.	6 min.	10 min.	8 min.	11 min.

So when John Fox who travels "about three times a year" says he would sign up if Denver had the program, lets see what he's spending in hard dollars. Again, on a Monday.

Denver International Airport (DEN)

	8am		9am		10am		11am		12pm
	avg.	max.	avg.	max.	avg.	max.	avg.	max.	avg.	max.
A Bridge	2 min.	2 min.	8 min.	23 min.	11 min.	29 min.	5 min.	10 min.	2 min.	4 min.
North	5 min.	10 min.	11 min.	22 min.	11 min.	18 min.	8 min.	15 min.	3 min.	10 min.
South	8 min.	15 min.	14 min.	30 min.	14 min.	30 min.	9 min.	25 min.	5 min.	15 min.

So he's spending $100 bucks a year to save 33 minutes (on average, assuming he leaves at 10, which for whatever reason was also the longest wait. If he leaves from the A bridge at 8am, he'll spend $100 to save 6 minutes a year). Another way to look at it is that he values his time at about $200/hr (or $1000 if he leaves from A bridge at 8 am). Clearly, Mr Fox is living large. Also, this quick valuation does not value whatever wait he'd encounter if there were other buyers of this service there at the same time (which also takes them out of the "freebie" line, shrinking that wait), nor does it value the privacy he gave up. I have to wonder though, if he's in a line with an 11 minute wait, would he shell out $33 bucks to jump to the front? How about 2 mins?

Granted there's real value if somehow waiting in the security line caused you to miss your flight. Then $100 would be cheap compared to a $500 ticket. But how often is security really the reason?

So while I'll balk from a privacy standpoint, but its also nice to know that the economics back me up too.