Home |
Search |
Today's Posts |
![]() |
|
London Transport (uk.transport.london) Discussion of all forms of transport in London. |
Reply |
|
LinkBack | Thread Tools | Display Modes |
|
#1
![]() |
|||
|
|||
![]() "Chris Jones" wrote in message ... The thing is, if you build the M6 bypass from general taxation, then you are effectively subsidising those who use it. You might argue that motorists at large will pay for it, and motorists at large will benefit from it, but in reality it is only a small group of people who will benefit from it, yet if it were paid for through general taxation, a large group of people would be paying for it. That's the whole point of the state paying for things. The point is that overall everyone gains equally. The BNRR in the Midlands, M25 widening in London, M74 in Scotland, etc. Clearly Europeans believe something different, that constructing motorways is rather like handing dollops of money over to a select few. This is considered unnacceptable, and hence their roads are tolled. Our motorways weren't tolled from the start as it was believed that if you have a road, you may as well let as many people use it as they want, as there is (was) zero marginal cost of extra cars. This isn't really the case anymore due to congestion. The Government should not be subsidising things that bring a high benefit (and have a high cost) to a small number of people. In that case we should adopt the American model of very low taxes but nothing provided by the state. Why should I be subsidising the NHS when I haven't used it in 10 years? Same argument. The answer being that I might need to use the NHS tomorrow, and you might need to use the M6 Toll tomorrow. It benefits everybody and the economy as a whole. If a lorry carrying goods from Felixstowe to Manchester gets stuck in M6 traffic jams for hours, businesses in Manchester lose out. It has a national impact. The thing is it is about choices. Individuals choose whether or not to drive, whether or not to use the M6toll or the old M6. With things like healthcare, there is no choice involved, you either need it or you don't. If you are ill you do want to consume healthcare - this is almost universal. So if the Government subsidises healthcare like mad, it isn't actually causing any market distortion. This is the heart of the problem, any Government subsidy or tax effectively takes choice away from individuals, and distorts the market. In most cases this leads to a sub-optimal allocation of resources. Besides, if it weren't going to be a toll road, it would fill up with traffic and be no better than the normal M6, and we would be back to square one despite having spent £900 million. It would fill up as-is, yes. What they should have done would be to build it with no local junctions - just access from the M6 and M42 at either end. That way, only long-distance traffic uses it, there are no new business parks or shopping centres built next to it, and it serves its purpose as a long-distance strategic route. And this is an interesting notion - long distance traffic is more important than local traffic? The nice thing about tolls is that it automatically takes account of this, if the people making their local journeys consider their journey "unimportant" they will be unwilling to pay £2-3. If they long distance traffic considers its journey important then they will pay for it. Everyone considers their journey to be "important" or even "essential". But the proof of the pudding is whether they are prepared to pay for it. |
#2
![]() |
|||
|
|||
![]()
In message , Chris Jones
writes It's like giving up on the NHS and telling everyone to get private health care. Don't most of the government already have private health care? -- Clive |
Reply |
Thread Tools | Search this Thread |
Display Modes | |
|
|
![]() |
||||
Thread | Forum | |||
Another new Tube station opens for business - West Ashfield | London Transport | |||
Heathrow's new Terminal 5 opens today | London Transport | |||
Fools And Feminists | London Transport | |||
M6 toll, good news | London Transport | |||
Foglight fools | London Transport |