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Greyhounds, what you don't seem to understand is that there is no connection between the higher rates paid by Montana shippers and the "average" carloads of grain from the various states. Since most grain shipments come in 100 car shipments, I suspect the R.L Banks study is averaging them out, e.g. it is simply a statistical anomoly. If Montana only produced 28 100 car shipments, and Minnesota produces 100 100 car shipments, the economies of the shipment are the same. It may be that the Montana grain shipments only utilize 1 carset, while the Minnesota grain shipments utilize 5 or so carsets. Either way, the equipment is being utilized without differentiated downtime, so the cost covering revenue from the capital investment is the same on a per mile basis, and it is logically higher for the longer haul. Therefore, if it is costing shippers more to ship a 100 car lot from Montana than it is from farther away e.g. the economies of scale are being maxed for both locales, there is no other conclusion but that rate discrimintation is taking place.
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