The problem, IMHO:
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Most Amtrak routes lose money - often spectacular amounts. Even with the prices Amtrak is charging, several of the long-distance trains lose some $300 per ticket.
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With a few small exceptions, Congress has not let Amtrak cut money-losing routes. The most Amtrak has been able to do is cut frequency.
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Congress is equally unwilling to provide a steady, annual subsidy to maintain these money-losing routes. It’s much cheaper to fantasize that “better management” can cut the losses, and in the meantime force Amtrak to subsidize these lines itself using the profits from the few routes that do make money. (It used to be that the DC-NY Metroliner was the only real cash cow, but that’s been replaced by Acela. Don’t know if that 's making $$$. The slower Northeast Direct trains lost a little money, but not spectacular amounts. I’m not sure what the status was of the California and Chicago-area trains, which were also considered to be at least possible non-money-losers.)
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Congress has indulged in a persistent fantasy that passenger rail travel can be self-sustaining. I know of no place in the world where that is currently true, and it was true in the United States for only the briefest periods - generally during wars. Even a cursory glance at the history of most railroads provides a nice overview of the evolution of American bankruptcy law - almost every line has been bankrupt at some point or another, and often several times. The only part of American rail that’s profitable is freight service; that industry has thrived since it dumped its passenger routes on the government.
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The main virtue to letting Amtrak collapse is that it would force Congress to make some real decisions - like, why should we subsidize inefficient, expensive, long-distance travel when we have infinitely superior alternatives? Where does it make sense to provide rail travel?
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Likelihood that Congress will arrive at the correct answer: low, because the high-density corridors that could reasonably support train travel don’t cover enough districts.
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What will happen for travellers, short term: probably not much. A temporary solution in the Northeast might be that the states would intervene to preserve intercity service. That’s not a bad solution, really; those states have the greatest interest in getting traffic off of Interstate 95. We’ll see.
Fun, huh?