car ownership

Malcolm Laughlin <mlaughlinnyc@...>


The point you are missing is that before you can load a home road car,
you have to HAVE a home road car, and that means it has to be paid
for. On the other hand, you can haul the traffic (which is where the
real money is made) in a foreign road car by simply paying the per
diem, which didn't reflect the true cost of car ownership. It was
supposed to, but the amount was set through a lengthily process, and
almost always lagged behind the true cost. This is one of the reasons
why the industry experienced chronic car shortages,


There was a big tug of war between eastern and western roads on this issue. Roads like NYC and PRR unloaded enough western marks to handle a large percentage of their loading requirements. The western roads contended that the easterners should have car ownership in proportion to their traffic. They were not as strong financially as the western roads, and that aggravated the problem. From a modeling perspective, that says if we are modeling east of Chicago we would have a smaller percentage of system cars and more western foreigns, and vice versa. To a lesser extent there was a similar relationship between east and south. What I’m discussing here is mainly in regard to box cars.

Malcolm Laughlin, Editor 617-489-4383
New England Rail Shipper Directories
19 Holden Road, Belmont, MA 02478

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