Amtrak operations lost $1.2 billion last year without even counting depreciation and the other costs that Amtrak pretends aren’t real. (The $1.2 billion is calculated by adding $885 million “adjusted operating earnings” to the $329 million “state supported train revenue” that Amtrak pretends isn’t a subsidy.) A railroad in Japan provides an example of one way Amtrak could cover this deficit.
The Choshi Electric Railway hit some hard times in the 1990s, as did most Japanese businesses, due to the nation’s economic slump. The railway almost went out of business, but then it hit upon the idea of asking its customers and patrons to buy rice crackers. Today, it makes twice as much money on its rice crackers than on the rail line itself. Continue reading
