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by AnthonyMouse
2486 days ago
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What percentage of operating costs are paid for with fares has basically nothing to do with what percentage should be paid for with fares. If paying 100% with taxes results in lower costs per rider because you don't have to pay for fare collection costs and higher use of public transport because there is less friction (which benefits even those who don't use it via lower traffic and pollution etc.), why shouldn't we do that instead? |
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Although the administration cost is not zero, it is almost certainly negligible enough that moving to a taxpayer funded model would increase these costs. This is particularly true given that transport budgets are operated at the regional level and would require the introduction of new regional taxes rather than simply relying on exiting tax revenue. (The politics of passing any new tax legislation would be a monumental hurdle in the first instance).
Then there is the question of whether a broad tax is more equitable then the current model. I fail to see how this could be the case given the current system retains the price signal and through a system of concessions ensures that those who most benefit from the provision (e.g. professional working in the inner city) contribute the most and effectively subsidise fares for the rest of society.