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355 points pavel_lishin | 2 comments | | HN request time: 0.456s | source
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RobKohr ◴[] No.45389953[source]
"Federal funding typically covers 80% of bus purchases, with agencies responsible for the remainder."

Well, there is your answer. The one making the purchase isn't the one primarily paying for the purchase. This makes them less sensitive to pricing.

Kinda like how expensive healthcare is since it is paid for by insurance.

Or how you don't care how much you put on your plate or what you choose to eat at an all you can eat buffet.

The second you detach the consumer from the price of something, even through an intermediary such as health insurance, that is when they stop caring about how much something costs, and so the price jumps.

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1. barchar ◴[] No.45391644[source]
I mean if it's a strict 80/20 split the incentives are the same as a 0/100 split no?
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2. salmonellaeater ◴[] No.45391886[source]
The transit agency will choose more expensive features that do not meet a 1x ROI but do meet a 5x ROI.