Amtrak Overview
Costs and Benefits of Intercity Rail Travel
Amtrak was created in 1970, and began operation in 1971, to relieve railroad companies of their money-losing passenger operations while maintaining passenger rail service in the United States. Under Amtrak, passenger rail service has continued a money-losing record that began in the 1930s. Passenger rail service in other countries has a similar record. A great deal of criticism is directed at Amtrak for its inability to make a profit. The implication is that profitability is the standard condition for passenger rail systems. Yet as consideration of Amtrak’s predecessors and foreign counterparts shows, unprofitability is actually the norm for intercity passenger…
