MARTA attempts at price discrimination is bad policy and bad politics

Talk about a clash of politics and public policy. Charging people more money to travel longer distances is voo-doo economics. It costs more to serve people who want to travel a couple stops on a system that runs through two counties. The more riders and the longer the distance traveled, the greater the efficiency of the system. MARTA’s value comes from its use.

Politically, this proposal sends a bad message. MARTA is saying that we will implement price discrimination to discourage people from venturing where they are not wanted. This type of discouragement of ridership makes no sense.

MARTA should consider charging higher amounts during peak periods when the system is under greater load pressure, similar to the policy on DC’s Metro.

http://blogs.ajc.com/political-insider-jim-galloway/2010/02/05/marta-may-charge-by-the-mile-or-time-of-day/comment-page-2/#comment-44198

http://blogs.ajc.com/political-insider-jim-galloway/2010/02/05/marta-may-charge-by-the-mile-or-time-of-day/#add-comment

About Alton Drew

Alton Drew brings a straight forward and insightful brand of political market intelligence. Alton Drew graduated from the Florida State University with a Bachelor of Science in economics and political science (1984); a Master of Public Administration (1993); and a Juris Doctor (1999). You can also follow Alton Drew on Twitter @altondrew.
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