ALTERNATE FORMULAS FOR A FEDERAL OPERATING SUBSIDY PROGRAM FOR TRANSIT

The paper discusses the rationale for transit subsidies, and explores the implications of four simple transit-subsidy formulas. It reviews the several arguments that have been advanced to justify the subsidization of mass transit services; describes some of the many possible subsidy formulas for allocating funds under an operating subsidy program; and directs attention to four criteria that should be used in selecting a particular subsidy formula; efficacy, incentives for economic efficiency, distribution costs, and equity. Four simple transit-subsidy formulas are analyzed: subsidies proportional to urban populations, to transit revenue-passengers, to vehicle-miles of service, or to potential transit-riders.

  • Supplemental Notes:
    • See also report dated Jan 73, PB-219 077.
  • Corporate Authors:

    Institute for Defense Analyses

    Program Analysis Division
    Arlington, VA  USA 
  • Authors:
    • Oi, W Y
  • Publication Date: 1973-11

Media Info

  • Pagination: 140 p.

Subject/Index Terms

Filing Info

  • Accession Number: 00051572
  • Record Type: Publication
  • Source Agency: National Technical Information Service
  • Report/Paper Numbers: P-943 Final Rpt
  • Files: NTIS, TRIS
  • Created Date: Mar 25 1981 12:00AM