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[quote]QUOTE: So, essentially we are checking the pricing of a carload at $3100 vs $2700. However, as you know, those Montana grain farmers want the $2700 price, and possibly even lower. How would you go back from $2700 to $3100 with the promise of running faster trains? They dont care, they want lower rates. [/quote] The only rate that matters is the best rate from farm to whatever entity is interested in purchasing his crop. Most farmers or local elevators will gladly take a $3100 rate from the neighborhood elevator as opposed to a $2700 rate from an elevator a hundred miles away. The cost of trucking to the 110 car facility often negates the lower rate. Of course, a few quasi economists will claim that the higher rate will cause the farmer to move his operation closer to the 110 car facility.[;)]
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