Railways: A Transatlantic Cause

Thanks to Right Democrat for this:

Paul Weinstein, chief operating officer of the Progressive Policy Institute http://www.ppionline.org/ and a visiting fellow at The Johns Hopkins University, suggests that it is time for America to make a major investment in developing high-speed rail systems:

If America's air-travel system is any indication, the sky really is falling. Flights have been cancelled by the hundreds due to safety concerns. Five commercial airlines have gone out of business since March 31st, in large part because of rising fuel costs. Six broad fare increases have gone into effect this year alone, along with new charges on everything from pillows to a second piece of luggage.

At Philadelphia International Airport, average passenger delays have grown to more than 20 minutes, while bottlenecks at airports in the New York metropolitan area have become so chronic that the federal government has imposed flight caps and installed a new "airport czar" to make sense of the mess.

While the laws of supply and demand will undoubtedly correct some of the problems the airline industry faces, the future for air travelers is not so bright. Most economists agree that airline mergers (such as the recently announced Delta-Northwest agreement), fewer flights, and more fuel-efficient planes will eventually help put the industry on stronger financial ground. Unfortunately, these very measures will also mean higher prices, less choice, and fewer amenities for passengers.

In the short term, passengers have two choices: fly less, or pay more for an inferior service. But if the United States is serious about fixing the air-travel mess -- not to mention congestion on our roadways -- there is a real, long-term solution: high-speed rail (HSR).

For years, efforts to pass legislation that would make a significant investment in high-speed rail have been halted by a number of factors: the current administration's ideological opposition to government investments in infrastructure; the return of deficits; the lack of a direct source of funding; the hostility of the airline industry; and a wasteful and distracting debate over the future of Amtrak.

With the airline industry cutting routes and raising fares, the cost of a gallon of gas racing past $4, and the unemployment rate rising, the time for a major investment in high-speed rail may finally be here.

In this policy brief, the Progressive Policy Institute provides the economic, environmental, and transportation arguments for HSR. In addition, we propose a plan that will:

Target investment where demand is -- regional and commuter rail;

Build five new regional high-speed rail corridors; and

Establish a Rail Trust Fund and identify deficit-neutral sources of direct funding.
http://www.ppionline.org/ppi_ci.cfm?knlgAreaID=141&subsecID=299&contentID=254733

The PPI report describes the economic benefits resulting from a substantial investment in high-speed rail. For every $10 billion invested in high-speed rail, 40,000 construction-related and 112,500 permanent jobs will be created. Compared to the $150 billion stimulus package producing a half million jobs at a cost of $300,000 per job, high speed rail corridor projects create a job for every $65,000 spent.

Weinstein points out the growing popularity of commuter rail systems:

"Since the mid 1990s, there has been a strong increase in rail demand and service, primarily along short-to-medium-distance inter-city routes and commuter lines. "

"Nearly one-half of the 21 commuter railroads in North America did not exist 15 years ago. Most of those systems were based in large, densely populated Northeastern cities such as New York, Philadelphia and Boston. Today, commuters railroads are located in metropolitan areas across the nation including Miami, Los Angeles, Nashville, St. Louis, Charlotte and Albuquerque while new systems are in the advanced stages of planning and development in Detroit, Orlando and Austin."

Read the full report at
http://www.ppionline.org/documents/High-Speed-Rail-0908.pdf