Executive Summary

By: Ken Notis

Recent work in the private sector and current policy debates have refocused attention on Federal subsidies to passenger transportation modes. To provide the Department of Transportation with an independent analysis of this issue, BTS developed data on...

Table 3. Net Federal Subsidies per Thousand Passenger-Miles by Mode: FY 1990-2002

(Dollars per Thousand Passenger-Miles)

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Table 2. Net Federal Subsidies to Passenger Transportation by Mode: FY 1990-2003

(Millions of Chained 2000 Dollars)

Excel | CSV | Graphic Version - Figure 1 | Graphic Version - Figure 3 | Graphic Version - Figure 5

Table 4. Net Federal Subsidies per Thousand Passenger-Miles by Mode: FY 1990-2002

(Chained 2000 Dollars per Thousand Passenger-Miles)

Excel | CSV | Graphic Version - Figure 2 | Graphic Version - Figure 4 | Graphic Version - Figure 6

VI. Full Social Costs and Benefits

The major reason that some modes of transportation are subsidized is that they are perceived as providing social benefits in addition to the benefits provided to passengers using these modes. These benefits can take several forms.

First, some modes...

I. Introduction

Recent work in the private sector and current policy debates have refocused attention on Federal subsidies to passenger transportation modes. To provide the Department of Transportation with an independent analysis of this issue, BTS developed data on federal transportation...

Figure 2. Net Federal Subsidies per Thousand Passenger-Miles by Mode: FY 1990 - 2002

Excel | CSV | Table Version

Sources: See Table 4.

Figure 6. Net Federal Subsidies per Thousand Passenger-Miles for Air Transportation: FY 1990 - 2002

Excel | CSV | Table Version

Sources: See Table 4.

IV. Allocation Formulas

Because there are several forms of transportation of highway and air transportation, federal revenues and expenditures for the highway and air transportation systems are allocated to the various forms of transportation that share them. The allocation formulas for air...

II. Federal Subsidies to Passenger Transportation

The federal government spends billions of dollars every year on the passenger transportation system. Net federal subsidies (spending minus revenues) vary across different modes of transportation.

Net Federal subsidies have varied over...