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[quote user="YoHo1975"]Except that the reason the railroad lowered its fairs was to encourage travel and resettlement in locations where it owned land and facilities. Ultimately the intrinsic value of those locations was based on people using them. Now you might say that these other enterprises picked up the slack and thus the RPO car was just another revenue stream and I suppose that's a valid way to look at it, but its also a chicken and egg situation. the RPO car brings in revenue whether people partake of the railroad services or not.[/quote]   I don’t think it is a "chicken and egg" situation.  The RPO service, the passenger travel, and the passenger restaurants are just three different chickens.  You say the RPO car brings in revenue whether people partake of the railroad services or not.  Yes it does, but those other services bring revenue whether the RPO brings in revenue or not.    It is true that only the government can offer a subsidy, but it does not necessarily follow that every government expenditure amounts to a subsidy to the recipient.
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