Remix.run Logo
▲ arjie 2 hours ago

It’s not an American idea. It’s a pretty normal concept that public transit is not a charitable program and must yield benefit commensurate with spend. The view that public transit should have low farebox recovery is predominantly American and the opposite of the majority of successful public transit programs everywhere in the world.

If what you said was true then it would be the inverse - operating costs would be mostly paid out of government subsidies in the areas with most ridership. But in fact, it is (and predictably so) the case that good transit systems have high farebox recovery - the HK MTR, Taipei MRT, and the Tube are those I’m familiar with and they’re all much nicer and more frequent and have high farebox recovery.

In fact, I find the whole thing confusing. Do people actually believe public transit is meant to be some kind of giveaway to a small number of riders? It’s clear from looking worldwide that where it is useful riders pay high enough fares because it is so useful.

I can understand some sort of bootstrap capital investment (or one-off interventions like for COVID-19) but the idea that operating costs should be predominantly covered from general taxation doesn’t really hold up if you look at which places are effective at this.

▲throw0101c an hour ago | parent | next [-]

> The view that public transit should have low farebox recovery is predominantly American and the opposite of the majority of successful public transit programs everywhere in the world.

Not unreasonable, but low farebox recovery (or "subsidies") may still be less expensive than building out roads/highways to handle various situations:

* https://en.wikipedia.org/wiki/Commuter_rail

* https://www.youtube.com/watch?v=vxWjtpzCIfA

The idea that roads are subsidized for commuters should also be considered:

* https://en.wikipedia.org/wiki/Congestion_pricing

* https://en.wikipedia.org/wiki/Carbon_price

▲itishappy 2 hours ago | parent | prev | next [-]

How does this relate to the Interstate Highway System? Its funded neither by fares nor general taxation, but some weird "parallel construction" system of taxation.

▲js2 an hour ago | parent [-]

The Highway Trust Fund which pays for the IHS is funded by its users through taxation on gasoline and diesel. I wouldn't call that a weird parallel construction.

▲supertrope an hour ago | parent | next [-]

Fuel taxes only cover half the cost of roads. https://taxfoundation.org/data/all/state/gasoline-taxes-and-...

▲itishappy an hour ago | parent | prev [-]

The result of this system is that if you happen to use less gas for any reason (certainly relevant in this day and age), your transit is essentially subsidized! That's the weird bit in my mind.

▲supertrope an hour ago | parent [-]

Many (flyover) states make up for the "lost" fuel tax revenue by charging a flat rate EV fee on yearly registrations. https://taxfoundation.org/data/all/state/electric-vehicle-ev...

Some states add this for plug-in hybrid cars and even hybrid cars.

▲itishappy 38 minutes ago | parent [-]

Understood! From my view this looks like we're having to adapt our system to address the disconnects caused by attempting to simulate fares via taxation.

▲settsu an hour ago | parent | prev | next [-]

> Do people actually believe public transit is meant to be some kind of giveaway to a small number of riders?

Yes. Absolutely yes. I mean I don't know what "people" "believe", but that's how public benefits are supposed to work in an equitable system.

"An advanced city is not one where even the poor use cars, but rather one where even the rich use public transport." In my opinion, that idea extends to anything that we know makes a society better: libraries, public education, etc. It shouldn't even be controversial to a sensible person that those are not revenue generators, let alone profit centers.

It's analogous to "handicapped parking" (as it's called in the US) and similar accommodations: people will balk at the costs or other arguments used when compared to a relatively large population who don't need them, until they suddenly require those accommodations for themselves or a loved one.

Be a poor, physically-disabled human being in a small, underfunded town, then come at me with "farebox recovery" BS. We need to stop pretending like we don't live in a post-scarcity world, but we just choose to allow terrible people to run things and make bad faith arguments to keep ignorant people ignorant.

▲teiferer 2 hours ago | parent | prev | next [-]

Good public transit even benefits those not using it by reducing other kinds of traffic. Everbody should be in favor of such investments but many people just don't think that far during their next traffic jam frustrations in rush hour.

▲arjie 2 hours ago | parent [-]

It isn’t that X goes down if you do Y that matters but whether the utility from X going down is commensurate with the cost of doing Y. There is a cost of reducing traffic which I am happy to pay and a cost of reducing traffic which I am not going to pay. So just telling me something will reduce traffic will not induce me to pay. You also need to handle the other side of the sheet.

▲joe_the_user 2 hours ago | parent | prev [-]

It’s a pretty normal concept that public transit is not a charitable program and must yield benefit commensurate with spend.

The benefits of public transit derive to all of society not necessarily those immediately riding it. That's true of a multitude of state spending, education, social services and so-forth.

The US doesn't directly charge for many of the costs of roads, certainly it doesn't charge for the drawback in the form of pollution and urban sprawl. But when you get to buses, suddenly "you're not a charitable problem..."

▲arjie 2 hours ago | parent [-]

This argument has to face up to the fact that all of the best systems have high farebox recovery and all the American systems have low recovery except for NY (which is still lower than the good ones). Essentially, if it’s so great to have low farebox recovery why does the Tube, HK MTR, and Taipei MRT have high farebox recovery?

Theorycrafting is all well and good but if you claim that some metric X (farebox recovery) is negatively correlated with some outcome Y (frequent good transit) then you do have to explain why all the good outcome Ys actually have high X. Reality has to meet the theory.

▲throw0101c 42 minutes ago | parent | next [-]

> This argument has to face up to the fact that all of the best systems have high farebox recovery and all the American systems have low recovery except for NY (which is still lower than the good ones).

Perhaps drivers/commuters should also be better charged for the resources they use:

* https://en.wikipedia.org/wiki/Congestion_pricing

* https://en.wikipedia.org/wiki/The_High_Cost_of_Free_Parking

* https://en.wikipedia.org/wiki/Carbon_price

We can let The Market™ decide what the alleged convenience of driving is worth.

▲supertrope 2 hours ago | parent | prev [-]

We don't expect roads to be profitable. We don't expect airports to be profitable. But there is a solution to this as well. If the train operator owns the land around each station and collects rent on the shops and homes, they can become profitable.