Satan: *First of all, the government paying to clean up oil spills is not the same as “here’s money because you obviously aren’t making any.” *
Not exactly the same, but it’s still a handout provided by the taxpayer so that the industry doesn’t have to bear the full costs of its operation. If we made oil companies pay to clean up all their own messes and protect all their own supplies, their profits would take a big hit.
*If we start looking at indirect costs involved, we start to think about shooting the moth flapping its wings in Asia for the hurricane it might or might not cause off the east coast of the US. *
I agree that indirect costs are a pain to evaluate, but that doesn’t mean we don’t have to worry about them. If one industry is relying heavily on direct subsidies and another is relying even more heavily on indirect subsidies, we won’t get a fair comparison between them in terms of true cost-effectiveness if we restrict our consideration just to direct subsidies. (And don’t forget that there are direct subsidies involved in gasoline costs too, according to the article I quoted: however you look at it, oil companies have their hands in the taxpayer’s pocket as surely as Amtrak does.)
*Also, most gas produced doesn’t wind up in cars, I don’t think. I’ll bet that most of the stuff is used in other things - houses as well (especially if we include both natural gas and oil) and lip balms for that matter. Even if cars and trucks are the leading users of petroleum products, the rest has to be significant when added up. *
Right, but all that means is that these other petroleum-dependent industries are also getting subsidized, as well as the gasoline industry.
*Finally, I will grant you that the government pays for the roads (except in New Jersey… Heh!) But the government also pays for the tracks, do they not? *
Some, especially for things like rail-and-road crossings, but as was pointed out before, Amtrak pays other rail companies such as Conrail to use their tracks, and the other rail companies have to spend for track maintenance too. I don’t know how much of the cost is borne by the govt. vs. by the private companies, but I can try to find out.
*And I don’t think for one second that automobile manufactuers are hurting for money en masse, a fucked-up Daewoo notwithstanding. *
Neither do I, but I think that that’s partly because their product is so heavily subsidized. If we put taxes on autos and gasoline that were really sufficient to cover the major costs of their use, Detroit would not be feeling so fat and happy.
*In any event, even if we were to show that cars use a ton of government subsidies, that would be because (in theory) nobody would be able to drive if they didn’t. Too cost prohibitive. *
Well, why is it better to subsidize cars in order to make them cheap enough for lots of people to use them than to subsidize trains for the same purpose?