No Clear Correlation Between Fare Revenue and Ridership
In recent weeks, many MBTA riders have expressed frustration about the T’s recent fare hike. In fact, some riders are volunteering to stand on platforms and lead a conversation about what riders can do to roll back the hike. However, the T is unlikely to budge. Even when ridership declines for a period, fare revenue continues to climb.
The last three fare hikes occurred in 2012, 2014, and 2016. While all three led to a decrease in unlinked passenger trips the following year, they generated an increase in fare revenue. In fact, fare revenue increased every year from 2007-2017, with the exception of 2010. Further, the largest increase in fare revenue actually came in a year in which ridership declined. According to Pioneer Institute’s MBTAAnalysis.com, from 2012 to 2013, fare revenue increased by 19.7% even as ridership decreased by 1.6%. Moreover, when ridership grew by 7% in 2011, its largest increase between 2007 and 2017, fare revenue only rose by 2.2%. When the T implements Automated Fare Collection 2.0 and works the early bugs out of the system, even higher revenue can be expected.
While some riders feel service quality hasn’t improved enough to merit a fare increase, state law allows the MBTA to raise fares no more than 7 percent once every two years. Further, riders should be aware that in 2017 the T was the fourth largest transportation network in the United States in unlinked passenger trips, but ranked sixth in total fare revenue.
However, the fare revenue per unlinked passenger trip increased by 60 percent between 2007 and 2017, which is nearly 20 percentage points more than its closest peer system. While a fare hike is nothing new, riders are right to demand that it correspond with improved service.
Get Our Fix the T Updates!
Related posts:
https://pioneerinstitute.org/wp-content/uploads/greenplow.jpg
378
525
Editorial Staff
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Editorial Staff2015-06-25 08:13:052015-06-25 08:33:33Pioneer and You – Together We Can Fix the T
https://pioneerinstitute.org/wp-content/uploads/closedstation.jpg
307
590
Editorial Staff
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Editorial Staff2015-06-18 10:06:572019-07-10 14:50:53Final, Binding Arbitration Major Obstacle to MBTA Accountability & Performance
https://pioneerinstitute.org/wp-content/uploads/stack_of_legal_documents.jpg
424
283
Matt Blackbourn
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Matt Blackbourn2015-06-18 08:32:372019-07-11 11:31:01What Court Documents Show About Compensation at the MBTA vs. Peer Communities
https://pioneerinstitute.org/wp-content/uploads/MBTA-Subway-Returns-Feature-2.jpg
480
640
Scott Haller
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Scott Haller2015-06-08 09:40:582019-07-11 11:31:02MBTA Experiencing Severe Delays in Transparency
https://pioneerinstitute.org/wp-content/uploads/off-track.jpg
330
600
Jim Stergios
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Jim Stergios2015-06-04 08:35:012019-07-11 11:31:02Way off track
https://pioneerinstitute.org/wp-content/uploads/Obstacle-train-tracks.jpg
410
610
Jim Stergios
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Jim Stergios2015-06-03 11:46:022019-07-11 11:31:03The Single Biggest Obstacle to Reform at the MBTA
https://pioneerinstitute.org/wp-content/uploads/Red-line-snow.jpg
404
636
Editorial Staff
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Editorial Staff2015-05-22 10:49:522019-07-11 11:31:03A Step Closer to the First-Class Transit System Massachusetts Deserves
https://pioneerinstitute.org/wp-content/uploads/MBTA-line.jpg
543
792
Mary Connaughton
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Mary Connaughton2015-05-21 08:33:032019-07-11 11:31:03There Is Little Appeal to the Current Use of Binding Arbitration at the T
https://pioneerinstitute.org/wp-content/uploads/amtrak.png
532
845
MuckRock
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
MuckRock2015-05-13 11:47:172019-07-11 11:31:04The High Cost of Records Requests at the MBTA Hits a New Low
https://pioneerinstitute.org/wp-content/uploads/RedLineCharlesMGH1.jpg
768
1024
Editorial Staff
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Editorial Staff2015-05-11 12:35:002019-07-11 11:31:04Testimony: Why Pioneer Supports MBTA Reform
https://pioneerinstitute.org/wp-content/uploads/house-of-cards.jpg
183
275
Jim Stergios
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Jim Stergios2015-05-02 10:49:592015-05-04 06:26:44The Convention Center Expansion was a House of Cards
https://pioneerinstitute.org/wp-content/uploads/MBTA-Keolis-Performance-Feature.jpg
623
930
Scott Haller
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Scott Haller2015-04-15 15:10:392019-07-11 11:31:04Is Keolis Up to the Task?
https://pioneerinstitute.org/wp-content/uploads/RIDE.jpg
307
410
Greg Sullivan
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Greg Sullivan2015-04-07 15:59:292019-07-11 11:31:04What if “The Ride” operated like the best big paratransit systems in the US?
https://pioneerinstitute.org/wp-content/uploads/THERIDEbus.jpg
243
500
Greg Sullivan
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Greg Sullivan2015-04-07 10:37:222019-07-11 11:31:04Guess Who Runs the Best Paratransit System in the MBTA’s District? Hint: It’s Not the T
https://pioneerinstitute.org/wp-content/uploads/Top-Secret11.jpg
334
623
Mary Connaughton
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Mary Connaughton2015-04-07 10:03:442015-04-07 10:03:44Public Left in Dark on Carmen’s Union Contract
https://pioneerinstitute.org/wp-content/uploads/OPEB.png
260
718
Mary Connaughton
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Mary Connaughton2015-04-06 12:03:362019-07-11 11:32:26And What About the T’s Retirement Costs?
https://pioneerinstitute.org/wp-content/uploads/MBTAvSEPTA-640x341.jpg
399
726
Editorial Staff
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Editorial Staff2015-04-02 12:03:422021-01-28 15:23:53The MBTA Commuter Rail’s Cost Structure Is Off the Rails
https://pioneerinstitute.org/wp-content/uploads/MBTA-Winter-Recap-Feature.jpg
854
1280
Scott Haller
https://pioneerinstitute.org/wp-content/uploads/logo_440x96.png
Scott Haller2015-03-30 15:32:592019-07-11 11:32:26Sunshine Must Return to MBTA This SpringHarris Foulkes is a Roger Perry Transparency Intern at Pioneer Institute and a rising sophomore at Amherst College studying Economics.
