Late last month, the Federal Highway Administration reported that Americans drove a record number of miles in 2018: 3.225 trillion miles in all. While the Department of Transportation heralded this as a sign of a “robust economy,” detailed data show that driving grew by only 0.38 percent over 2017. This is slower than the previous year’s growth of 1.21 percent, and slower than the nation’s population growth of 0.62 percent, which means per capita driving declined by 0.24 percent.
While any growth at all is better than the transit industry is doing, this slow growth may be more of a sign of an on-coming recession than a robust economy. According to the Bureau of Economic Analysis, personal incomes declined by 0.1 percent in January, 2019, though they grew by 0.2 percent in February. Bloomberg says that some indicators suggest that we are facing the highest chance of a recession since 2008.
Of course, some people are using the growth in driving as one more argument for a big infrastructure spending bill. In fact, the need for a new federal spending program is becoming more questionable every day. Continue reading
