Government subsidies to all modes of transportation except highways greatly increased during the pandemic even as most passenger transportation declined. According to data recently released by the Department of Transportation, subsidies to driving rose 39 percent in 2021 than 2019, while subsidies to all other passenger modes increased by 180 to 350 percent.
Per passenger-mile subsidies to Amtrak were 30 times greater than subsidies to air travel in 2021, while per passenger-mile subsidies to transit were more than 230 times greater than subsidies to driving.
According to just-released table HF-10 from the 2021 Highway Statistics, government agencies spent $97.5 billion in property taxes and other general funds on highways in 2021, up from $80.3 billion in 2019. However, part of this expense was offset by diversion from highway user fees to transit and other non-highway activities. These diversions amounted to $38.1 billion in 2021, up from $33.3 billion in 2019. The net subsidy to highways, then, was $59.5 billion in 2021, up from $45.1 billion in 2019. Continue reading
