tag:blogger.com,1999:blog-5862444008740250372.post4336578307324872282..comments2024-02-01T04:37:41.878-05:00Comments on Cap'n Transit Rides Again: Tripping over the Simpson CurtainCap'n Transithttp://www.blogger.com/profile/17057887736728828646noreply@blogger.comBlogger5125tag:blogger.com,1999:blog-5862444008740250372.post-26211771346829444292011-01-13T00:49:46.197-05:002011-01-13T00:49:46.197-05:00I'm not convinced that transit should shoulder...I'm not convinced that transit should <a href="http://capntransit.blogspot.com/2010/01/separating-transit-from-charity.html" rel="nofollow">shoulder the burden</a> of creating a classless society all by itself, George. It'd probably be easier if we <a href="http://capntransit.blogspot.com/2010/01/separating-transit-from-charity.html" rel="nofollow">separated transit from charity</a>.Cap'n Transithttps://www.blogger.com/profile/17057887736728828646noreply@blogger.comtag:blogger.com,1999:blog-5862444008740250372.post-32180395890001036442011-01-12T18:30:34.495-05:002011-01-12T18:30:34.495-05:00The reason why I would support free public transit...The reason why I would support free public transit is because it does provide a redistribution of wealth in the city. Taxes would have to be raised to accomodate the fare-free transit, and the wealthier people would be more affected. In the meantime, the poorer people would no longer have to bear the cost of using mass transit.<br /><br />If fare-free transit were implemented, I'm sure you would see an increase in cost-efficiency (though obviously not farebox recovery ratio) on all of the lines in the system.<br /><br />By the way, when I say fare-free transit, this should only apply to local travelers. For example, in NYC, the express buses should still charge a premium fare, since they are more costly to operate than local buses.George Khttps://www.blogger.com/profile/15288033149559815848noreply@blogger.comtag:blogger.com,1999:blog-5862444008740250372.post-85267697279235412492009-08-28T23:04:20.749-04:002009-08-28T23:04:20.749-04:00Yes, it's fairly uncontroversial microeconomic...Yes, it's fairly uncontroversial microeconomics that if you sell something at a price that's too high, less people will buy it.<br /><br />But it's not linear, and it's highly context-dependent. See <a href="http://www.vtpi.org/elasticities.pdf" rel="nofollow">this PDF</a> from the Victoria Transportation Policy Institute for more information.Cap'n Transithttps://www.blogger.com/profile/17057887736728828646noreply@blogger.comtag:blogger.com,1999:blog-5862444008740250372.post-5721159296239848122009-08-28T14:34:47.196-04:002009-08-28T14:34:47.196-04:00Amtrak's fares are priced to get the maximum r...Amtrak's fares are priced to get the maximum revenue for the capacity they have. In other words, if the theory is right, increasing fares further will make revenue drop.<br /><br />So that confirms the idea that total revenue can drop when fares increase.<br /><br />Southwest airlines works on the same model.<br /><br />However, there is a sweet spot in these calculations, and that is influenced by capacity. Amtrak has pretty fixed capacity, and Southwest is pretty constant too (recognizing these are much more complicated subjects).<br /><br />Below the sweet spot, lowering fares lowers revenue.Christopher Parkerhttps://www.blogger.com/profile/16947034888487890485noreply@blogger.comtag:blogger.com,1999:blog-5862444008740250372.post-8164771032849376412009-08-28T01:17:01.529-04:002009-08-28T01:17:01.529-04:00Revenue drops when fares are increased? Since when...Revenue drops when fares are increased? Since when?Alon Levyhttps://www.blogger.com/profile/12195377309045184452noreply@blogger.com