Comment 35028

By A Smith (anonymous) | Posted October 28, 2009 at 19:44:50

Ben >> Gary Webster cites one of many reasons:

A "downward spiral would begin as ridership would be reduced with poorer service,

Not at all. All it would mean is that the TTC would have to phase out routes that were losing money and focus on investments where they could make a profit, likely the routes with the highest population density.

By limiting the amount of resources that go to routes where there is limited customer demand, resources aren't wasted on things that people don't value. Instead, those limited resources can either go back to the taxpayer, or they can be reinvested into transit routes where demand currently outstrips supply.

Businesses operate in this manner and it forces them to invest only where customer demand is strong. In this way, resources are applied in a manner that always delivers the biggest consumer bang for the buck.

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