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Friday, February 03, 2006

As if our roads weren't bad enough already

Indiana proposes to sell its toll road to a private company. My guess is that will lead to higher tolls and less road repair. After all, a major toll road is exactly like a monopoly. There are usually no viable alternatives for long-distance travel. True, some cross-country truckers might use more southerly routes across to avoid the Indiana tolls, but heading south to I-80 or I-70 is pretty far out of the way for most drivers. The nature of a monopoly is to raise price and lower quality, and they can get away with it because there is no competition.

Privatizing the highways is an utterly horrible idea. Guess which party is in charge in Indianapolis.

INDIANAPOLIS - Sweeping past Indiana's steel mills and corn and soybean fields, the 157-mile Indiana Toll Road is often called the "Main Street of the Midwest" for its strategic role in linking the East Coast to Chicago and points west.

Now the highway across the heartland could fall into private hands.

Indiana officials hope to sign a lease this spring with a Spanish-Australian partnership that would operate the toll road for a profit for the next 75 years.

The company would keep all toll revenue. In return, it would be responsible for maintenance, improvements and other operating costs, and would pay the state $3.85 billion up front — money that would go toward other road and bridge projects.

2 Comments:

Blogger KISSWeb said...

Once upon a time, Republicans hated monopolies. What a great one this will be! Want to go East (or West)? Our way is the highway -- or something like that. Take it or leave it.

I wonder the legal implications of a state privatizing a part of the Interstate Highway System. What about the defense implications that were used to start it all.

2:23 PM  
Blogger walldon said...

Good points.

2:55 PM  

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