John’s posting about Rep. Istook’s reservations about tossing billions into “light-rail” transportation projects is William Tell accurate. The desire for such rail projects is nothing but a desire for gaudy status symbols.
In developmental economics, the late Peter Bauer used to talk about “the error of imitation.” What he meant was that poor countries often waste resources in trying to imitate advanced industrial nations. “The US has a steel industry, so we should too.” “France has a national airline, so we should too.” The error lies in thinking that because something makes economic sense in some places, it must make economic sense everywhere. (I’m not saying that Air France makes economic sense.)
I think that exactly the same thing is going on with the infatuation with light-rail. Political leaders who won’t personally bear any cost in getting it want it just as a status symbol.
