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Happy Panther

High Speed Rail initiative

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It was good enough to post twice.

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Fwiw, they wouldn't even need bullet trains if the current train system didn't stop in every little podunk town along its root. For example, the train from Raleigh to Charlotte stops in Durham, Burlington, Greensboro, High Point, Salisbury and Kannapolis. I would eliminate Durham, Burlington, High point, and Kannapolis, and put van service in those cities to a bigger city where the train stops.

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" The Austrian school views economics as a tool for understanding how people both cooperate and compete in the process of meeting needs, allocating resources, and discovering ways to build a prosperous social order. Austrians view entrepreneurship as a critical force in economic development, private property as essential to an efficient use of resources, and government intervention in the market process as always and everywhere destructive... Mises argued that rational economic calculation requires a 'profit-and-loss test.' If a firm makes a profit, it is using resources efficiently; if it makes a loss, it is not. Without such signals, the economic actor has no way of testing the appropriateness of his decisions. Socialism holds that the means of production should be in collective hands. This means no buying or selling of capital goods and thus no prices for them. Without prices, there is no 'profit-and-loss test.' Without accounting for profit and loss, there can be no real economy. Should a new factory be built? Under socialism, there is no way to tell. Everything becomes guesswork." -Lew Rockwell

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" The Austrian school views economics as a tool for understanding how people both cooperate and compete in the process of meeting needs, allocating resources, and discovering ways to build a prosperous social order. Austrians view entrepreneurship as a critical force in economic development, private property as essential to an efficient use of resources, and government intervention in the market process as always and everywhere destructive... Mises argued that rational economic calculation requires a 'profit-and-loss test.' If a firm makes a profit, it is using resources efficiently; if it makes a loss, it is not. Without such signals, the economic actor has no way of testing the appropriateness of his decisions. Socialism holds that the means of production should be in collective hands. This means no buying or selling of capital goods and thus no prices for them. Without prices, there is no 'profit-and-loss test.' Without accounting for profit and loss, there can be no real economy. Should a new factory be built? Under socialism, there is no way to tell. Everything becomes guesswork." -Lew Rockwell

what does this have to do with high speed rail?

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what does this have to do with high speed rail?

really?

How can government bureaucrats make business decisions when every loss is subsidized, when they are hundreds if not thousands of miles away from the concerns of those most affected by their actions? If there is no profit-loss test, there is no way of knowing which decisions are best. If this plan out-competes the airlines, and the airlines take a hit, will they be subsidized as well, or will they simply be forced to evolve in the wake of government intrusion?

The proposed new investment -- including $8 billion in the upcoming fiscal year -- would accompany a streamlined application process for cities, states, and private companies seeking federal grants and loans to develop railway capacity.

At least they are trying to work with local officials, it seems.

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really?

How can government bureaucrats make business decisions when every loss is subsidized, when they are hundreds if not thousands of miles away from the concerns of those most affected by their actions? If there is no profit-loss test, there is no way of knowing which decisions are best. If this plan out-competes the airlines, and the airlines take a hit, will they be subsidized as well, or will they simply be forced to evolve in the wake of government intrusion?

pardon me. i did not pick up on the fact that you were keying in on the need for cost-benefit analyses. you appeared to be making a point about austrian economics. i assumed you were using the rockwell quote to simply imply that high-speed rail was a case of needless government intervention, as is often the argument when hayek or von mises is invoked. your point regarding the need to account for any potential negative externalities created by public good provision is a very good one. carry on.

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I remember when all our roads were built by for profit companies because the government was unable make any rational decisions.

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I remember when all our roads were built by for profit companies because the government was unable make any rational decisions.

I never said Mises, Hayek, Hazlitt, Rockwell, Paul, etc., followed an infallible vision of economics. Some gov't programs have been successful, even while contradicting previous laws, just don't sweep everything under those exceptions.

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Hey I have no problem with well thought out criticisms, but over the past few years a lot of people want to throw everything under the bus in order to make a point that can't be made otherwise.

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That's a great link explaining how our young government used socialism and taxes to get things done when it was impractical to do things like that in the private sector. I can't believe our Founding Fathers didn't nip that in the bud, other than the fact that everyone needed roads.

Only 35 to 40 percent of New York turnpike projects – or about 165 companies – reached operational status. In Connecticut, by contrast, where settlement covered the state and turnpikes more often took over existing roadbeds, construction costs were much lower and about 87 percent of the companies reached operation (Taylor 1934, 210).

35 to 40 percent completion rates, that makes the federal government look positively genius by comparison.

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And if you apply that loging to railways, Europe already had a ton of infrastructure built when the high speed connectors were built between them. That's what we are lacking and need to build up, and it's the most expensive part.

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