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July 17, 2008
Cross price elasticity
Gas prices are up. So is Amtrak ridership. (Macomb Journal)
If there is any good news about $4 per gallon gasoline, it is that ridership on Amtrak is booming.
...
Ridership on the Illinois Zephyr and Carl Sandburg routes was up 41.4 percent in fiscal 2007, compared to fiscal 2006. Ridership on Illinois state-subsidized routes increased another 180,823 passengers during the first two-thirds of fiscal year 2008, to a total of 670,605.
When I ride the Illinois Zephyr or the Carl Sandburg, it is typically packed. Last time I rode, there were just a handful of empty seats.
I enjoy riding the rails. It's faster than driving, and without the hassle of driving. We don't drive to Chicago anymore if we can avoid it. Take the train!
UPDATE: Stephen Karlson has much more.
Posted by William Polley at July 17, 2008 9:07 PM
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Comments
Same phenomenon is going on with METRA commuter trains running into Chicago, noted by the Chicago Tribune recently. Another interesting application of cross-price elasticity.
Posted by: Uncle Jeffy at July 29, 2008 1:32 PM