Democrats and Republicans Unite to Misuse Taxpayer Funds on Intercity Bus Subsidies
Bus subsidies
09/02/2025
Since 1978, a federal subsidy program (49 U.S.C. 5311) has funneled taxpayer money into intercity bus routes. Fast forward to today, and this initiative has failed. Instead of attracting riders, politicians have often crafted routes to win votes. As a result, subsidized bus routes have been squandering taxpayer money for 46 years. Meanwhile, unsubsidized bus companies have faced unfair competition from subsidized routes.
Since the invention of air conditioning, travelers have favored north-south routes. For instance, Flixbus now offers ten daily New York-to-Atlanta trips, up from six in 2019. Business is also booming between Chicago and Atlanta, with eight trips, up from five in 2019.
In contrast, demand for east-west routes has diminished. For example, Atlanta-to-Dallas has dropped from six to three trips. Direct service from New York to Chicago via Cleveland has also ended.
https://mises.org/mises-wire/democrats-and-republicans-unite-misuse-taxpayer-funds-intercity-bus-subsidies
