Thread: Owning roads?
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Old 10-29-07 | 09:48 PM
  #5  
M_S
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Originally Posted by idcruiserman
Really? Why not nationalize every industry then?
I don't really want to get into this.

I can easily throw backat you; "why not privatize everything."

Both would pose obvious problems.

The thing is, the advantages of having things private is when there is a truly free market, meaning enough consumers and sellers that none can effectively manipulate the market price. Neither of these are the case with roads. There are too few new roads being built and operated, and the operation is too complex, for there to be more than a handul of companies with the ability to produce and run major roadways. And there is only one customer.

All moving the roadways to the private sctor will do is transfer the costs to another entity (not the government). But the money will not magically appear. Where do you think the private companies wil get the money required to run the roadways? Where does the government get it?

The problem of course is that irresponsible politicians (and irresponsible voters who keep electing them) promise to not raise taxes. When needed spending exceeds revenue, they don't want to be labeled tax raisers, so they privatize, even though it's in no way a good solution.

Last edited by M_S; 10-29-07 at 09:54 PM.
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