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Montana fights back against BNSF
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[quote]QUOTE: <i>Originally posted by StillGrande</i> <br /><br />Futuremodal, <br /> <br />You are arguing that short haul railroading is more economical than long hauls? Of course the rate per mile on long distance is cheaper than short hauls. That is why railroads work. That is why they want to get rid of branchlines. No money in the short run. It costs them the same in equipment. It become cheaper the further you take it. <br />[/quote] <br /> <br />Be careful how you frame the question. I did not say short haul railroading is more economical than long hauls. I said the haul from Minnesota is longer than the haul from Montana. Both are considered long hauls (1000+ miles), so both should have the similar economies of scale, and the only differences should acrue from the fact that it takes more fuel, labor and equipment wear and tear to haul 10,000 tons from Minnesota than from Montana. After a certain point, increased mileage should result in increased costs. <br /> <br />Note also that the long haul rates from Nebraska are less than the long haul rates from Montana, despite the fact they are relatively the same distance from the PNW ports.
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