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Strategies & Market Trends : Mish's Global Economic Trend Analysis
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To: Little Joe who wrote (107524)1/30/2010 8:38:51 PM
From: Cogito Ergo Sum   of 116555
 
Highways are paid for from the gas tax which is paid by truckers and other vehicle owners.

Certainly in part.. but the stress placed on highways by trucks is far greater than by cars.. I cannot see a fuel tax balancing that .. A tax on the truckers... sure.. that would work.... I can't speak to US highways but up here in the GTA (greater Toronto area) truck effects are very harsh.. and that's not even counting the congestion they add.. Some rush hours are amazing for the truck to car ratio on the 401 series of highways in the GTA (think productivity loss).. Also looking at mass transit in simply a user pay scenario is not accurate either IMO.. The congestion savings (productivity gains) from good rapid transit are huge but that requires planning.. In Toronto it is not very good... so we drive.. Montreal has horrible traffic, made worse by being an island.. but without its Metro system it would be frozen..

Actually up here it's worse .. we are obviously subsidizing many things with gas tax.. taxes.ca

In some ways though the government is between a rock and a hard place.. putting a lot of truckers out by introducing rail friendly measures would not be terribly popular I suspect..

TBS
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