Tuesday, October 26, 2010

Economics trumps rhetoric … always

Lately I have been reading a lot about the proposed "high speed" rail line from Milwaukee to Madison. What has concerned me about the debate on this issue is that I have found many arguments against the train that use facts (as best as we can ascertain), data, economics, and cost-benefit analysis, while most of those arguing for the train have resorted to name calling, rhetoric, and feel-good arguments – completely ignoring any economic rationalization.

One of the main lines of argument from the pro-train crowd I have come across lately is that those of us who are against the train would have been against construction of the $114 billion (almost $500 billion in today's dollars) interstate highway system when construction began nearly sixty years ago. But would we have?

The interstate highway system was constructed without a dime of subsidy, being funded entirely with gas taxes and other highway-user fees. And therein lies the difference: The proposed train is going to require huge subsidies per passenger, with some estimates over $100 per rider. Were I to be convinced that the Madison to Milwaukee train could be financed through fares and user fees, or even mostly through fares and user fees (allowing a small subsidy commensurate with other forms of transporation), I could support it.

But until I see the data that confirms that, I cannot support this endeavor. If those in favor of the train could provide a sound economic analysis in support of it, they would find a very open set of ears and mind in this person. But until then, please stop referring to us as pro-Republican "anti-rail ranters" who would have foolishly been against the building of the interstate highway system sixty years ago. I for one am simply an independent citizen looking for the best ways to invest a finite amount of scarce taxpayer dollars. Period.