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Amtrak rail passenger service to New York using the legendary Route of Phoebe Snow
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<P mce_keep="true"> </P> <P>When a business is considering a new product or service line, management asks these questions:</P> <UL> <LI> <DIV mce_keep="true">How much will it cost?</DIV></LI> <LI>What is the market demand for the product or service?</LI> <LI>Will the market generate sufficient revenues to cover the variable and fixed costs?</LI> <LI>Will the revenues be sufficient to generate a return for the investors?<BR></LI></UL> <P><BR>The proponents of any new passenger rail service should be required to address the first three questions. Passenger rail is not likely to return a profit, but ideally it should cover its costs. At a minimum it should cover its operating costs. Otherwise, nonusers (taxpayers) have to pay for a service that they do not or cannot use. </P> <P mce_keep="true">I don't know whether the proposed rail service is justified. I am not familiar with the area. Neither are most people who don't live there just as most people who don't live in Texas don't understand it. This is one of the reasons that I believe regional transport solutions should be determined and paid for by the people in the region who can potentially use it.</P>
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