Category Transportation

Rothbard the Urbanist Part 4: Policing

I apologize for the extended delay between posts.  Personal (newborn) and professional priorities have prevented me from having the free time I once had. Unfortunately posts will probably continue to be sporadic until things settle down a little. We are now at Part 4 in the multi-part series delving into the urbanist-friendly ideas in Murray Rothbard’s classic For a New Liberty.   (available free from Mises.org as pdf, web page, and audio book)  In case you missed them, here are the first three parts: Rothbard the Urbanist Part 1: Public Education’s Role in Sprawl and Exclusion Rothbard the Urbanist Part 2: Safe Streets Rothbard the Urbanist Part 3: Prevention of Blockades As we continue through Chapter 11 of For A New Liberty, Rothbard continues to make valid points regarding safety and policing in a fully private-landowner system.  This passage is notably interesting in its discussion of the successes of private railroads.  Whether competition in the private street market would create a vibrant marketplace similar to the early days of the railroad is an interesting topic for discussion.  I’d tend to agree with Rothbard, but of course some imagination is required to envision such a radically different society: There is of course nothing new or startling in the principle of this envisioned libertarian society. We are already familiar with the energizing effects of inter-location and inter-transportation competition. For example, when the private railroads were being built throughout the nation in the nineteenth century, the railroads and their competition provided a remarkable energizing force for developing their respective areas. Each railroad tried its best to induce immigration and economic development in its area in order to increase its profits, land values, and value of its capital; and each hastened to do so, lest people and markets leave their area and move to the […]

O’Toole Under More Fire

At Streetsblog, Ryan Avent presented a scorching attack on the most notorious free-market impostor – Randal O’Toole: Taking Liberties With the Facts for his consistent hypocrisy: The Cato Institute’s Randal O’Toole gets under the skin of many of those interested in building a more rational and green metropolitan geography, but in many ways he’s an ideal opponent. It would be difficult to concoct more transparently foolish arguments than his. The man is an engine of self-parody. The requisite identification of “libertarian” contradictions: This is one thing I’ve never understood about the libertarian love affair with highways; they seem utterly blind to the fact that it has required and continues to require massive government action to build and maintain the road network. The interstate highway system is perhaps the single largest government intervention in the economy in the 20th century. Reading O’Toole you’d think it was a wonder of the free market. And with ease, Ryan points out the data needed to take O’Toole to task on his persistent assertion the “roads pay for themselves”: The source of his blindness on the issue seems to be due to his belief that roads pay for themselves, and that congestion exists only because governments shift gas tax revenue to pay for transit and other smart growth projects. Nothing could be farther from the truth. In the first place, gas tax revenue comes nowhere near paying for roads. Federal gasoline tax revenues cover barely half of the annual budget of the Federal Highway Administration. Add in diesel tax revenues and you’re still short. And that’s just the federal budget picture. In response, Randal replies to critics in the comments of his latest post of his “Antiplanner” blog: The Antiplanner sees the American dream as freedom of lifestyle choices and opportunities to realize those choices […]

Rothbard the Urbanist Part 2: Safe Streets

It turns out the entire Chapter 11 called “The Public Sector, II: Streets and Roads” is actually a chapter on Market Urbanism. Bryan Caplan considers this chapter "the least convincing chapter in the book", but as a Market Urbanist, I strongly disagree. I do admit that his discussion of safety and policing of private local streets involves a great deal of speculation and reliance on faith in the action of individual agents, but the insights into road subsidization and land-use patterns was decades ahead of its time. These insights may not seem so radical now, but imagine the resistance to these ideas in the days before urbanism gained much credibility.

Yglesias Has My Head Spinning…

In his last two urbanism-related posts, Matthew Yglesias makes great points only to dissolve them in a vat of unrelated statements posed as conclusions.  His logical inconsistency seems to invalidate his otherwise pretty good blogging on urbanism. A couple days ago, Matthew blogged about regulation of neighborhood retail, quoting a DC blog: “In DC, zoning laws make that idea [mixed-use retail] prohibitive, and what the zoning laws don’t cover ANC and neighborhood groups do in their zealousness to protect residents from interspersing residences with commercial activity.” …. I really and truly wish libertarians would spend more time working on this kind of issue. And I also wish that ordinary people would think harder about these kind of regulations. Yes!  More, please?   But then, the next sentence leaves me saying, “huh?”: I’m a big government liberal. I believe business regulations are often needed. But still, there ought to be a presumption that people can do what they want. So, I really don’t understand what this post has to do with libertarians anymore – why even mention them. It seems logically inconsistent to presume people can do what they want, while presuming a big government can regulate their economic choices. Now, on to today’s post: Randall O’Toole is a relentless advocate for highways and automobile dependency in the United States. Consequently, I don’t agree with him about very much.  But the thing I consistently find most bizarre about him, is that the Cato Institute and the Reason Foundation have both agreed to agree with O’Toole that his support for highways and automobile dependency is a species of libertarianism. then… Central planning, of course, is the reverse of libertarianism. So if promoting alternative transportation is central planning, then building highways everywhere must be freedom! But of course in the real world building highways […]

Block vs Poole: The Public-Private Partnership Debate

The Orange County Register’s Freedom Politics website (check out my rent control article FreePo published in March) features articles discussing two differing takes on road privatization from notable scholars Walter Block and Robert Poole. In Robert Poole’s article, he discusses the merits of the increasingly popular use of Public-Private Partnerships (PPP) to fund and operate roadways: Four potential benefits are particularly important: Fewer Boondoggles: Elected officials often champion projects that yield political benefits but have costs greater than their benefits. But with PPP toll projects, nobody will invest unless the benefits exceed the costs to the extent that they can project a positive return on their investment. That’s a powerful safeguard against boondoggles. Avoiding “Big Dig” Disasters: Large-scale “mega-projects” like Boston’s notorious Big Dig are prone to large cost over-runs and schedule delays. In a well-structured PPP project, those risks can be transferred to the private sector, shielding taxpayers from those costs. Cost Minimization: Traditional highway projects are built by the lowest-bidder, which often means they are built cheaply and need lots of expensive maintenance over their lifetimes. But a PPP toll highway must be maintained for decades at the private company’s expense. Hence, it has every incentive to build it right to begin with, to minimize total life-cycle cost. Sustainable Congestion Relief: If you add ordinary freeway lanes, they tend to fill up and become congested. But today’s urban toll lanes use variable pricing (as on the 91 Express Lanes) to keep traffic flowing smoothly on a long-term basis. In contrast, Walter Block takes a more principled stand for complete privatization: Public – private partnerships (PPP) are thus part and parcel of both fascism and socialism; they constitute a partial state ownership of the means of production. As well, they are emblematic of fascism, and government is the senior […]

How Pricing Tolls Right Eliminates Congestion

Chris Bradford over at Austin Contrarian has been making some solid points in favor of congestion pricing. (here, here, here and here)  Chris’s core argument in favor of congestion tolling is that: congestion pricing does more than relieve congestion.  Congestion pricing tells us when a road needs more capacity.  Additional capacity costs money, and drivers are willing to pay only so much for it.  That “so much” is exactly equal to the price they are willing to pay to avoid congestion. The idea that toll profits send a signal to road operators to produce additional capacity is often neglected in discussions of the benefits of congestion pricing.  Without pricing, the only signal is the manifestation of congestion itself.  This is problematic, as the only solution is to build more roads when congestion is observed.  Actually if done right, years before congestion occurs with the help of foresight and luck on the part of transportation planners and agencies.  This problem feeds the dangerous new highway –> sprawl –> congestion –> highway expansion –> sprawl, etc., etc. positive feedback loop.  This feedback loop is quite a powerful mechanism that helps drive the unhealthy types of sprawl. Chris is on the right track, but sets a sub-ideal objective (in my opinion) when he says: The optimal congestion toll should be set just high enough to achieve free-flow (45 mph) traffic. Since the goal should not only be to avoid congestion, but to get the highest number of commuters through the system as possible, I would restate that as: The optimal congestion toll should be set at exactly the price that maximizes traffic flow. As Chris said, “Congestion pricing is hard.”  Although it seems complicated, you might be shocked at how easy it is, in concept, to price roads optimally.  That’s because it’s somewhat […]

20/20 Segment on Private Roads (& Some things to ponder while in traffic)

Some other things to ponder for the next time you are sitting on a congested highway… When I talk to people about tolling roads, most people immediately reject the idea entirely.  I like to ask them to think about it next time they are in a traffic jam.  Hey, if you sit in traffic, you probably spend a lot of time thinking…  So, next time you are waiting for the car ahead of them to move, think of what dollar amount you would be willing to pay to avoid the traffic jam in order to get to your destination.  Then, think of waiting in a long bread line, as if the only source of food were free government bread.  Obviously, the bread is underpriced.  How much would you be willing to pay for a loaf of bread to avoid the line?  Recall the price you were willing to pay to avoid traffic and ask yourself whether roads are priced correctly.  Interestingly, almost all people are fully willing to pay for bread, a staple of life, while we tend to think of roads as “too important to leave to private companies.”  So from now on, think of a bread line every time you are sitting in traffic. After a few commutes, you might be ready for some more thinking on the subject.  Once you’ve learned to recognize the socialism of the highways, think about how tolled roads might affect where you decide to live.  Would you live further away from your destination, and gladly pay for a congestion-free commute?  Or would you choose to live closer to work, to pay less in tolls?  Now, keeping in mind that most highways are congestion-free when they are originally built, ponder how socialized roads effect living patterns.  Had roads been priced properly, would the […]

“Misbuilding” the Future, Again…

From "Highway to hell revisited", a Financial Times article by Christopher Caldwell: The Highway Act probably has more defenders than detractors. But Mr Obama should be among the latter. The act, which budgeted $25bn in federal money to build 41,000 miles of motorway, exacerbated the very problems Mr Obama has been most eager to solve – spoliation of the environment, dependence on foreign oil, overburdening of state and local budgets, abandonment of the inner-city poor and reckless speculation in real-estate development, to name a few. The article goes on to discuss the history of the Highway act of 1956, some of the problems it caused, and critiques of the sprawl caused by the dangerous feedback-loop created by over allocating resources to infrastructure.  I recommend reading the whole article, which concludes: The infrastructure network that came out of the Highway Act had higher overheads than the one it replaced. It became a bottomless pit of spending. The largest building project in Mr Obama’s Recovery Act is $27bn for roads, and there have been no complaints that the government will have a hard time finding things to spend it on.  The US has big economic problems. But they have been made worse, and harder to resolve, by a half-century in which, at federal urging, the country was misbuilt. There is an inherent bias in favour of government projects. The successes can be mythologised through commemoration, goading future generations to imitate them. The failures are fixable only through equally extensive projects to undo them. This makes it easy to forget that there is no social or economic problem so big that a poorly targeted government intervention cannot make it worse. On the subject of “misbuilding”, this Onion video is the funniest thing I’ve seen in a while, and is pretty much how I […]

The Nation’s mass transit hypocrisy

by Stephen Smith I was heartened to see an article about the need for mass transit in the pages of The Nation, though I was severely disappointed by the magazine’s own hypocrisy and historical blindness. The article is in all ways a standard left-liberal screed against the car and for mass transit, which is a topic close to my heart, though I’d prefer a more libertarian approach to returning America to its mass transit roots as opposed to the publicly-funded version that The Nation advocates. The first bit of historical blindness comes at the end of the second paragraph, when The Nation argues for government investment in mass transit on the grounds that it will “strengthen labor, providing a larger base of unionized construction and maintenance jobs.” But don’t they realize that the demands of organized labor were one of the straws that broke the privately-owned mass transit camel’s back during the first half of the twentieth century? Joseph Ragen wrote an excellent essay about how unions in San Francisco demanded that mass transit companies employ two workers per streetcar instead of one, codifying their wishes through a series of legislative acts and even a referendum. Saddled with these additional costs, the streetcar companies could not make a profit, and eventually the lines were paved over to make way for the automobile. Mass transit companies, whether publicly- or privately-owned, cannot shoulder the burden of paying above-market wages and still hope to pose any serious threat to the automobile’s dominance. The second, and perhaps more egregious error, comes a little later, when The Nation lays the blame on every group but itself for the deteriorating state of mass transit in America: Nonetheless, smart growth and transportation activists still have high hopes that the Obama administration and a Democratic Congress will revitalize […]

Uncomfortable truths about the progressive legacy

by Stephen Smith Yesterday I was listening to the pre-inaugural concert at the Lincoln Memorial on the radio, and one of the speakers said something that struck me as emblematic of the challenges that Barack Obama faces, though I doubt she realized the ironic significance. She was praising Theodore Roosevelt’s conservationist legacy as a model for Obama, with some quotes from him at the Grand Canyon or Yosemite or some other celebrated national park, though she only touched on a small sliver of Roosevelt’s environmental legacy. He definitely did cherish the environment; a timeline of his life shows that in early April 1903 he “commune[d] with deer while writing letters in Yellowstone, WY.” He was indeed a conservationist, as were many progressives at the time. But the progressives were also something else – something that today’s progressives would do well to remember: ardent planners whose plans often had grave unforeseen consequences. Just after his time communing with the deer at Yellowstone, Roosevelt traveled to St. Louis to address the 1903 Good Roads Convention. The “good roads” movement dated back to before the automobile rose to prominence, and was formed to agitate for improved roads for bicyclists and farmers. But around the time of Roosevelt’s speech, the movement was hijacked by the budding auto-industrial complex. Unwilling or unable to compete on their own against mass transit, the automakers, highway engineers, and road contractors sought for the state to both acquire the rights of way necessary for the roads, and to pay for them to be paved – an advantage the streetcars and railroads did not generally have. Not wanting to appear to be too blatant in their rent seeking, these interests lobbied the government indirectly, giving organizations like the AAA money in exchange for influence and seats on their boards. The […]