Monopoly Game

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Midland Valley

Lead Service Attendant
Joined
Feb 14, 2005
Messages
408
Location
Dodge City, Kansas
Where is all this "Monopoly" talk coming from? Mineta is using it quite freely in his Amtrak Bashing speeches. Does he not know the history of Amtrak or is he a "history revisionist"? If Amtrak is a monopoly, it is a federal government monopoly created to release the freight railroads from money loosing passenger trains. Wasn't that the agreement between the feds and the railroads? More smokescreen doubletalk.
 
Well technically Amtrak is indeed a monopoly, but it's only a monopoly because it's not a business that one can make a profit in. It also happens to be a monopoly that's basically owned by the Federal Government, as the US DOT holds about 92% of all the stock shares issued by Amtrak.

I guess using Mineta's logic, we should shut down the US Post Office too, since they are still a monopoly too, at least when it comes to first class mail. Maybe with competition we could find some private company to carry my first class letter for a buck (which is probably what they'd need to charge to make money), instead of the 37 cents the post office charges right now.

Of course the sad reality is that Mineta's just looking for something to hang his hat on, since the response to the White House plan isn't positive. So they are looking for anything to stir the waters to their favor.
 
So, lets' see...

We have, among many others, the Post Office, NASA, The Army Corps of Engineers, and ... oh yes, AMTRAK.
 
battalion51 said:
Don't forget the Interstate and U.S. Highway system.
Well there isn't a monopoly there, since there are state owned roads, county owned roads, city and town owned roads, and even privately owned roads. Plus while the Feds throw in a big chunk of money every year, I don't believe that the Feds actually own any roads. Where as all the other examples are in one form or another owned by the Fed.
 
I wouldn’t include the highway systems in the list, because they only represent a huge collection of subsidies at many levels: Federal, State, and Local: hundreds of billions of dollars a year.

The Post Office, NASA, and the Army Corps of Engineers are similar to Amtrak in that these are all single, fully functioning entities that do what a private enterprise could do if the task were profitable. Our government, in its wisdom, formed these, because our society feels they are valuable even though they will never be profitable. The Post Office is required to make deliveries to every citizen regardless of location; nobody can make money putting stuff into orbit around the earth (technology may change this in the future); the Army Corps of Engineers rebuilds beaches after storms and controls flooding rivers; and AMTRAK is supposed to provide alternatives to the highways and the airports for people who can’t fly (oxygen bottles), won’t fly (20% of the U.S. population is afraid to fly), or who are located too far from the alternatives.

The curious thing is that unlike the situation with the Post Office, NASA, and the Corps of Engineers (and other similar organizations) the congress has never funded AMTRAK at a level that would make it a viable enterprise. So, today we have the ridiculous situation where some in our government ridicule AMTRAK as a boondoggle just as we would ridicule a starving man for not being able to come to work on time each day. It’s like opening a retail store with almost no stock, and then wondering why the store has very few customers. Thus we hear outlandish comments from some in the media like “Amtrak doesn’t go anywhere people want to go” and “Nobody rides Amtrak.” Such comments come from a prejudice not reality, and those who attack AMTRAK feed off the prejudice.

More interesting to me is how utterly alone the U.S. is in the industrialized world in its hatred of AMTRAK and diversity in mass transit in general. Most of my friends here in Texas view AMTRAK as something for “fat cats in the New York – Washington corridor.” Most aren’t even aware of the long distance trains and how some people depend on them. Were AMTRAK properly funded, there would be much more service in many more places, and many more people would depend on it. We would not see the rural decay all of us are paying for. Similar arguments can be extended into justifications for all forms of mass transit: urban sprawl, pollution, urban decay, etc. But considering AMTRAK’s proper role requires our representatives to think of things as they really are: as complicated systems. That’s too much work and takes time away from raising funds for the next election.
 
Minor detail (not directly related to Amtrak), but it's not true that "nobody can make money putting stuff into orbit around the earth."

Boeing does satellite launches all the time. What they couldn't to, though, is develop the rockets without all the money that has gone into NASA for research and development.
 
Dont forget Walmart ! they have put a lot of stores out of business. They are a huge retail monopoly. Amtrak is not the only passenger rail carrier in the US. Theres the long island railroad,Septa,Marc,Metra,and Cal Trans to name a few.
 
railfangns said:
Amtrak is not the only passenger rail carrier in the US. Theres the long island railroad,Septa,Marc,Metra,and Cal Trans to name a few.
True, but Amtrak is the only one that serves multiple states. Most don't even serve more than their home state and those that do, don't serve more than 2 other states beyond their home state. And even then, they barely serve the other state(s).
 
AlanB said:
railfangns said:
Amtrak is not the only passenger rail carrier in the US. Theres the long island railroad,Septa,Marc,Metra,and Cal Trans to name a few.
True, but Amtrak is the only one that serves multiple states. Most don't even serve more than their home state and those that do, don't serve more than 2 other states beyond their home state. And even then, they barely serve the other state(s).
and at least one of thise mentioned railroads CalTrain is operated by Amtrak crews under contract.
 
Well the Post Office was a Monopoly, well some dreamers did attempt to break the monopoly but what ever happened to UPS-FedEx-DHL stc etc.

Of course having 15 rail roads oporating on the limited rail lines but can how can you get this system to improve performance and the balance sheet.
 
I believe the U.S. Postal Service made a $13 Billion profit last year. It hasn't been supported by taxes since 1970. This will be Bush's next project to piecemeal out to his budies after the Terri Schiavo Circus is over.
 
Everything in transportation, could be an Oligopoly. There aren't really that many choices when it comes to travel. Sure there are several airlines, but only few serve the same markets. Places like North Dakota, is only served by one airline, so there's your monopoly. You can use the same for roads. Yes they are funded on multiple levels, but to get from my house to the highway, I can only use 1 or 2 routes, each funded by the city., Then I drive on the interstate to another major city. Now you could say, we could choose to take the state highway, but the much faster interstate is a better choice. So what I'm really saying, it not like we have a choice when it comes to travel. DART serves all of Dallas, monopoly. Amtrak has all the intercity train service, monopoly. American and Southwest are the only airlines with service from DFW area to Austin, oligopoly. (of course you could add Amtrak and I-35, as well as Greyhound on this route)

I hope you see my point. Many think all the modes of transportation should compete. I agree to a certain point, but all in all, they really work together, as a network. Sure the airlines compete, but they do help each other out too.

Chris
 
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