I am not talking just about FAA. The regulations in the overall aerospace world is crazy causing the planes themselves to be expensive, airport taxes, etc which they make the money from US airlines.
It's some what similar scenario to the drug and med device industry. Shit is cheaper in OUS due to cost of affordability.
And by distance, I meant fuel but also what the market will bear. A $150 flight is nothing in the USA whereas anything above $500 per person has folks thinking.