Neocon, I saw a study done, which showed that in fact it is cars, buses and trucks that receive the most federal subsidies of all forms of transportation. That is because the federal highway system is free. If you calculate in the dollars that go into highways as a federal subsidy to cars, buses, and trucks, you would see that the societal "preference" for travel by car, bus, and truck is in fact a market failure. If you really wanted to see what a free market would do, you'd have to tax cars and trucks to reflect the federal subsidy that they are receiving. In fact, that is arguably what Europe does; that is why you see a tank of gas being the equivalent of $4-5 per gallon, and you see a much greater use of public transport, such as trains.
Doughboy. |
