Quotulatiousness

October 29, 2009

Amtrak: still losing $32 per passenger on every trip

Filed under: Economics, Government, Railways, USA — Tags: , , , — Nicholas @ 12:52

Amtrak would not survive without federal government subsidy, as most people already know. What you may not have realized is just how much taxpayers subsidize every rider:

The Pew Charitable Trusts SubsidyScope Project has just released a new report that finds 41 out of Amtrak’s 44 routes lose money. The losses ranged from nearly $5 to $462 per passenger, depending upon the line, and averaged $32 per passenger. According to the report:

The line with the highest per passenger subsidy — the Sunset Limited, which runs from New Orleans to Los Angeles — carried almost 72,000 passengers last year. The California Zephyr, which runs from Chicago to San Francisco, had the second-highest per passenger subsidy of $193 and carried nearly 353,000 passengers in 2008. Pew’s analysis indicates that the average loss per passenger on all 44 of Amtrak’s lines was $32, about four times what the loss would be using Amtrak’s figures: only $8 per passenger. (Amtrak uses a different method for calculating route performance).

The Northeast Corridor has the highest passenger volume of any Amtrak route, carrying nearly 10.9 million people in 2008. The corridor’s high-speed Acela Express made a profit of about $41 per passenger. But the more heavily utilized Northeast Regional, with more than twice as many riders as the Acela, lost almost $5 per passenger.

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