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I think its time to stop the long distance routes
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[QUOTE]Originally posted by TheBriz09: [QB] [QUOTE]Originally posted by polarbearucla: [b]The freight side of railroads do just fine and bargain airlines such as Southwest and JetBlue do fine (both with very good profits and still providing very good customer service)[/b][/QUOTE] [QUOTE]Originally posted by littletrain: [b]While airlines do receive financial aid from the gov, they possess the ability to turn a profit, while amtrak will NEVER EVER TURN A PROFIT. Amtrak lacks the ridership to be able to make money.[/b][/QUOTE] Airlines, like the Amtrak NEC, CAN make enough money to cover their direct operating costs. HOWEVER, neither airlines nor Amtrak earn back the cost of capital and maintenance. Amtrak does not make enough money to catch up on NEC deferred maintenance, and airlines DO NOT make enough money to build and maintain the underlying infrastructure of the air system (airports and air traffic control). Of course JetBlue and Southwest do just fine, with [i]considerable[/i] investment from the federal government in the infrastructure. So, responding to littletrain, I would argue that airlines do NOT possess the ability to turn a profit. About the freight side of things, as polarbear brought up... I've heard arguments saying both that railroads do and do not earn the cost of capital. It is a debatable issue, but note that when the railroads started building back in the 1800s, the federal government provided a significant subsidy for each track-mile constructed. Personally, I am of the belief that freight railroads are NOT doing just fine; they are quickly running out of capacity as freight loads increase - demonstrated by recent UP actions. Anyway, it is a debatable issue - but comparing freight railroads to Amtrak is not really appropriate anyway as shippers will pay a lot more money per car shipped than a carload of coach passengers will pay. [/QB][/QUOTE]
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