Friday, May 23, 2008

GDP and Transit

I just wrote a note on Diamajin's post on infrastructure underspending over at STB.

The article he quoted discusses spending on GDP: 1960, the U.S. spent 12 percent of its gross domestic product on infrastructure and now spends 2.4 percent. Japan spends 10 percent, China 9 percent and India 4.6 percent...
I keep wanting to put the GDP thing into perspective. So lets say we spend 10% of GDP on Transportation. Let's say 20% of that goes to transit. Where would that leave us? $262 Billion based on $13.13 Trillion GDP(2006). Now APTA says that we spent $42 Billion in 2005 on capital and operations. That is a big difference! 523% increase.

Which when held against the $3.4 billion per year that will be promised in the climate bill for transit spending makes it look sad and small. I'm glad we're starting to turn the ship around when it comes to the transportation conversation in this country. But right now it feels like we're trying to reverse earth's orbital rotation.

1 comment:

pitch said...

I believe that $42 Billion that is mentioned by the APTA includes a lot of local and state taxes as well. So it's not really all coming from the federal government which is even more pathetic.