The Russians are teaching the Americans an important lesson in capitalism: where there’s high demand for a scarce commodity, costs will rise. NASA and its Russian counterpart inked a new $753 million modification to its current International Space Station transportation deal Monday, securing seats on the Russian Soyuz spacecraft from 2014 to 2016 at a price of almost $63 million per seat. The old contract, which runs until 2014, reserves seats on the Soyuz for just $56 million.
“The president's 2012 budget request boosts funding for our partnership with the commercial space industry and prioritizes our efforts to ensure that American astronauts and the cargo they need are transported by American companies rather than continuing to outsource this work to foreign governments,” Bolden said in a statement. “This new approach in getting our crews and cargo into orbit will create good jobs and expand opportunities for our American economy. If we are to win the future and out build our competitors, it's essential that we make this program a success.”