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  • Delta loses $70 per passenger in 2nd quarter

  • Discussion related to Amtrak also known as the National Railroad Passenger Corp.
Discussion related to Amtrak also known as the National Railroad Passenger Corp.

Moderators: GirlOnTheTrain, mtuandrew, Tadman

 #36327  by bratkinson
 
If Delta goes away, what will happen is exactly what happened when Eastern folded...other carriers WILL fill the gap. Remember, there's still a bunch of planes out in the desert looking for a route to fill.

But beyond that, what will happen is that with fewer major carriers, the few remaining will be able to raise rates somewhat. The discounters will also raise rates as well...simple economics. The law of 'whatever the market will bear' applies to airline prices as well as most of what we buy.

So what happens when airline prices start to rise? People will seek other modes of transportation...ie, drive. There will even be a small 'trickle down' of passengers to Amtrak...however, as they are at or near passenger carrying capacity, they can't handle it. (Got equipment?)

Perhaps in 5-10 years or so, when all the major intercity highways become clogged with traffic, the feds and state governments will think about passenger trains. But with the likes of UP providing tracks for Amtrak, I doubt they'll think long.