44 North
Senior Member
Sorry, meant to write interest, not cost.
It has to do with why Tokyo's transit system is profitable and why Toronto's is not. What exactly are you proposing Toronto emulate from Tokyo that might magically change the composition of the city to something more efficient?What does that have to do with anything?
Smaller cities are not allowed to entertain partnerships with private companies?
Toronto is terrible at getting the private industry involved with transit.
A partnership with a private company isn't going to reduce operating costs of the TTC by 30%, nor would billions in capital improvements appear. Tokyo has a higher GDP than all of Canada, which is why there was private capital to pay for this system. There was $44 billion in market capitalization on the TSX last year, while Tokyo had $3.8 trillion.
It has to do with why Tokyo's transit system is profitable and why Toronto's is not.
Comparing Tokyo Metro vs Toronto's subway system: is the Toronto subway really unprofitable?
Cool post, rbt.
But it's not quite that easy to fudge a budget. You have to follow PSAB rules, and the PSAB is wise to the difference between a capital lease and an operating lease. Sure there will be some grey areas though.
Anyway, it's the provinces and cities tendency to fund capital expenses without question while getting stingy with operating expenses that is causing the TTC to package dozens to hundreds of small operating items into capital projects. Path of least resistance to getting them funded.
I think we were looking at different numbers. The TSX has a total market capitalization of $2.105 trillion, but in 2009 $56.8 billion was raised and in 2010 $36.2 billion was raised. I wasn't commenting on the size of Japan or Canada's economy, but on the 'liquid' capital available to the markets. With more money means less advantageous projects still get funding and chance to turn a profit. When project wants overrun available capital, projectst that are worth doing but not the MOST worth doing get left behind.Wikipedia agrees with the $3.8 trillion for Tokyo, but says $2.17 billion for the TSX. It's Wikipedia, sure, but I'm pretty damn skeptical of your claim that Japan's economy, as represented by their stock exchange, is 86 times larger than Canada's.