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Privatizing Amtrak

Posted on 3/5/25 at 3:18 pm
Posted by Aubie Spr96
lolwut?
Member since Dec 2009
43899 posts
Posted on 3/5/25 at 3:18 pm
LINK

quote:

WASHINGTON (Reuters) -Billionaire Elon Musk, who is advising President Donald Trump on plans to radically shrink the U.S. government said Wednesday that the U.S. Postal Service and passenger railroad Amtrak should be privatized.

"I think logically we should privatize anything that can reasonably be privatized," Musk said at a Morgan Stanley conference. "I think we should privatize the Post Office and Amtrak for example... We should privatize everything we possibly can."



Why haven't we had this caliber of conversation before now?
Posted by chryso
Baton Rouge
Member since Jul 2008
13515 posts
Posted on 3/5/25 at 3:25 pm to
I'm ok with Amtrack but not so sure about the post office.
Posted by 4cubbies
Member since Sep 2008
58910 posts
Posted on 3/5/25 at 3:27 pm to
When has privatization ever decreased costs?
Posted by SpartanSoul
Member since Aug 2016
2620 posts
Posted on 3/5/25 at 3:28 pm to
With the way the railways operate, and the track ownership, Amtrak would be effectively dead except for maybe the New York to DC corridor. Not saying that's bad it is just the realities of train travel in the US.

Posted by bayoudude
Member since Dec 2007
25838 posts
Posted on 3/5/25 at 3:29 pm to
I looked into taking amtrack and it’s ridiculously expensive and there aren’t many destinations worth visiting on the route.
Posted by theballguy
'Tween them dadgum hedges
Member since Oct 2011
29514 posts
Posted on 3/5/25 at 3:29 pm to
Not viable as a purely privatized company. There's a reason it's government run.
Posted by theballguy
'Tween them dadgum hedges
Member since Oct 2011
29514 posts
Posted on 3/5/25 at 3:30 pm to
quote:

When has privatization ever decreased costs?



Sometimes it does but mostly does not.

The question then should be, if it's not necessary, should it exist?
Posted by Jax Teller
Member since Aug 2018
4519 posts
Posted on 3/5/25 at 3:31 pm to
If train travel was clean, quick, not ridiculously expensive for what you get, and not full of hobos and weirdos, I'd travel that way all the time. We need an actual rail system like other countries.

Sign me up for this.
This post was edited on 3/5/25 at 3:32 pm
Posted by 225rumpshaker
Texas
Member since Sep 2006
12061 posts
Posted on 3/5/25 at 3:32 pm to
quote:

I looked into taking amtrack and it’s ridiculously expensive and there aren’t many destinations worth visiting on the route.
Same, thought it could be a neat way to travel

In addition to what you mentioned the site for trying to book travel sucks, no easy way to see routes timing etc
Posted by Jax Teller
Member since Aug 2018
4519 posts
Posted on 3/5/25 at 3:33 pm to
quote:

Not viable as a purely privatized company. There's a reason it's government run.


That's because the product fricking sucks. Make it high speed and efficient and people would bypass the airports every chance they could.
Posted by notsince98
KC, MO
Member since Oct 2012
21308 posts
Posted on 3/5/25 at 3:36 pm to
quote:

When has privatization ever decreased costs?


What does that have to do with it?
Posted by 4cubbies
Member since Sep 2008
58910 posts
Posted on 3/5/25 at 3:37 pm to
quote:

What does that have to do with it?



What is the purpose of privatization? How would that benefit our government or the American people?
Posted by captainFid
Never apologize to barbarism
Member since Dec 2014
9143 posts
Posted on 3/5/25 at 3:37 pm to
quote:

I'm ok with Amtrack but not so sure about the post office.

I am absolutely certain it needs to be privatized.

Junk mail is the customer, not you.

I would expect innovations (which originally were scoffed at) would take place.

Plus, I'm not against a good living but postal employees are paid far beyond their value, thanks to the union. It's been like this for 30-40 years now.

Think about the amount of changes from Amazon over the past 5 years. When UPS, FedEx and USPS started costing too much, Amazon built their own infrastructure for last mile distribution. Yes they farm this out to independents but my goodness, my home cameras catch them delivering packages at 3am.

I would imagine Bezos would be one of the bidders for the Post Office.
Posted by notsince98
KC, MO
Member since Oct 2012
21308 posts
Posted on 3/5/25 at 3:37 pm to
quote:

What is the purpose of privatization? How would that benefit our government or the American people?


Less government spending helps allow lower taxes.
Posted by HailHailtoMichigan!
Mission Viejo, CA
Member since Mar 2012
73092 posts
Posted on 3/5/25 at 3:38 pm to
quote:


When has privatization ever decreased costs?


There is about 100 years of Econ research that finds govt run enterprises are costlier than private enterprise

Now, that isnt to argue that privatization is always the answer, but “decreasing costs” is not the reason for public ownership. Market failure is the reason for public enterprise
Posted by LegendInMyMind
Member since Apr 2019
71454 posts
Posted on 3/5/25 at 3:38 pm to
If you're going to rely on the free market and consumer demand to fund public rail transit in this country you won't have public rail transit in this country for long.

On a positive note, it should effectively kill this inexplicable love affair that some have in the potential of US commuter rails.
This post was edited on 3/5/25 at 3:40 pm
Posted by SpartanSoul
Member since Aug 2016
2620 posts
Posted on 3/5/25 at 3:39 pm to
quote:


If train travel was clean, quick, not ridiculously expensive for what you get, and not full of hobos and weirdos, I'd travel that way all the time. We need an actual rail system like other countries.

Sign me up for this.


I wish but it will never happen.

The freight companies own the tracks and prioritize freight and there is no way to economically build new ones so that will just never happen on a large scale in the US. Best case would be a short-range commuter line, that's why I said the New York DC corridor might be viable.
Posted by TBoy
Kalamazoo
Member since Dec 2007
27443 posts
Posted on 3/5/25 at 3:40 pm to
Post office would be well profitable if republicans would stop intentionally sabotaging it.
Posted by Auburn1968
NYC
Member since Mar 2019
25041 posts
Posted on 3/5/25 at 3:40 pm to
quote:

Not viable as a purely privatized company. There's a reason it's government run.


Only the government would pay $80 for hamburgers in the train lounge and sell them for $12.
Posted by HailHailtoMichigan!
Mission Viejo, CA
Member since Mar 2012
73092 posts
Posted on 3/5/25 at 3:41 pm to
quote:

If you're going to rely on the free market and consumer demand to fund public rail transit in this country you won't have public rail transit in this country for long.


But that’s exactly how markets work. The consumer is king.

It’s a horrible misallocation of resources to publically fund an enterprise that consumers would not value on a free market.
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