On 29/06/06 14:16 +0000, Rishab Aiyer Ghosh wrote:
> On Thu, Jun 29, 2006 at 07:23:07PM +0530, Devdas Bhagat wrote:
> > Rishab, could we actually compare based on PPP (or as a fraction of
> > income?) as well? At 750 INR for 60 km, it would actually be cheaper to
> > drive (or go by bus).
> 
> this depends on whether what we're comparing is service or capital
> intensive. for service-intensive sectors, such as health, it makes sense
> to compare based on PPP (as with the $ figures i provided in my mail on
> healthcare).
> 
> i guess that the cost of rail transport is at least for the first decade
> or so capital-intensive. given reasonably free trade, capital costs are
> the same worldwide, so purchasing-power is not a useful concept and market
> exchange rates provide the best comparison.
> 
Given equal capital costs, we can reduce costs to the consumer by 
a) Subsidies
b) Amortising the fixed costs over a longer timespan

> the delhi metro, which is using pretty new technology, is expensive, and
> the only reason tickets could cost much less than in seoul is massive
> subsidies and/or much larger passenger volumes.
> 
> (swiss - and european rail in general - transport prices are so high
> because one of the attributes valued is frequency of service, which
> typically means trains run empty most of the time. with fewer passengers,
> each ticket must cost more. )

As I said earlier, two trains run at an interval of 3 minutes in peak hours
on the Western line, and 6 minutes otherwise. Central line frequencies
are similar.

The CIA world factbook indicates that Switzerland has a population of ~
7.8 million. Mumbai city proper has 12.5 (officially), the metropolitan
region serviced by local trains is ~ 18.5 (or is the city proper now
18.5)? Mumbai's trains carry around 6 million people every day, a
figure which I first find referenced around 2002.

http://doesmumbaimatter.blogspot.com/2006/06/crush-hour.html
http://www.bombayfirst.org/citymag/vol2no1/reflections.htm
http://siteresources.worldbank.org/INTSARREGTOPTRANSPORT/Resources/UrbanTransportSectorStrategyNote.pdf

Devdas Bhagat

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