Originally Posted by
T. A. Gardner
I'm surprised no one has commented on this since when it goes into effect, it's going to increase inflation because the cost of transportation will rise. It will also potentially slow delivery of goods further than they already are.
I think most people never got past the long and complex switching action required.
I used to work on a railroad. I know what that would be like.
Yes, it will raise costs and slow deliveries.
However,
Most shipment is by truck or air. Railroads carry primarily bulk freight. The OTHER problem is also being ignored here, which is by far the bigger one:
The cost of diesel fuel.
Trains need it. Trucks need it. Tractors need it. They aren't just going to eat those costs. Shipping rates are climbing and fast.
Even worse, Biden is considering implementing price controls on fuel. If he does, it will be the mid 70's gas lines all over again.
Trucks and trains won't be able to get fuel to run them.
Price controls never work. They always cause shortages. No one is going to sell fuel for less than it cost them to obtain it.
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