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[quote user="henry6"] Now Romney has weiged in on Amtrak funding saying he wants it eliminated.  Is this his father's Packard- Nash- AMC- Rambler speaking or pressure from this stablemates?  [/quote] If the federal government stopped subsidizing Amtrak, it is not clear that it would go away. Oh, the long distance trains would be toast, as indeed they should be inasmuch as they serve only a minuscule portion of the population.  Also, most of the state supported short distance corridor trains would disappear unless the states continued to subsidize them.   If Amtrak continued its exemption from federal and state taxes, as is now the case, and it could improve the productivity of its labor force, it probably could break even on some of its high density routes within the NEC, California, and Illinois corridors.  To be sure, ticket prices would have to be raised, but the raises, which could be phased in over five years as subsidies are phased out, could be market competitive.   I have calculated how much the fares would have to be increased on the New York to Philadelphia segment of the NEC for Amtrak to break even.  My numbers showed an average 10 per cent increase would probably do the trick, although I did not have the figures for the New York and Philadelphia stations, which are owned by Amtrak subsidiaries, to factor into the numbers. Whilst I was in Washington last week I observed the Bolt, Megabus, and NY2DC bus operations near Union Station.  They don't get any government subsidies for their operations.  Which continues to raise a question in my mind?  Why should we subsidize intercity passenger rail and not do the same for intercity bus companies? Or the airlines?  Most financial analysts believe American Airlines is about to go bust?  Shouldn't the government bail them out.  After all, what is more iconic than American Airlines?
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