To reduce carry-on luggage, American Airlines offers bonus miles for checked bags

The Department of Seemingly Inexplicable Airline Economics brings this edition of quirky news involving American Airlines giving extra frequent flyer miles to people who check bags.

Ah, you say, sneaky tactic. Charge $25 to check a bag but give a few token miles. Not quite. The offer is only available to elite frequent flyers - and they already have a free baggage allowance. The reckoning (there is no official statement about this offer) suggests American wants to create more room in its overhead bins without doing away with the baggage charges that contribute to USD2.4 billion of annual ancillary revenue but also lead people to carry on their luggage instead of checking it.