A suburb of Orlando plans to subsidize 20% of all Uber rides, and 25% of ones that begin or end at a train station. It kind of makes sense that a small city with no previous investment in transit would choose to do this. There is no capital investment required, so they could just set a budget and stop the program for the year if they exceed it. They seem to think it will also help with road building and maintenance costs. I don’t quite get that – you assume people take trips because they need to get from point A to point B, and changing the economics of what vehicles they choose may not affect overall demand or reduce wear and tear. It might even increase demand if people take trips they would not have previously. It could drastically reduce the amount of space needed for parking, and that space and expense could be repurposed for something else. It could definitely cut down on drunk driving. They mention that it could hurt the poor, but I think all you need there is a hotline with operators who can book calls and arrange payment for people who don’t have an internet connection. It could provide jobs for laid-off taxi dispatchers.
subsidizing Uber as an alternative to transit
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