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Penn State Smeal News: Media Coverage February 2003

Kansas City Star
Missouri Weighs Offer To Privatize Amtrak Route

By Tim Hoover

Faced with a 44 percent increase in the cost of Amtrak service next year, Missouri is considering a St. Joseph company's offer to take over passenger rail.

John Spychalski, a business professor at Pennsylvania State University and an expert on rail transport, agreed that privatization of passenger rail is risky.

"Unless it's done very carefully, it could have consequences that could be more negative than positive," Spychalski said. "The British experience has been far less than totally favorable."

Spychalski said no form of transportation—rail, air or highway—operates without significant government subsidy.

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Penn State's Smeal College of Business offers highly ranked undergraduate, MBA, executive MBA, Ph.D., and executive education opportunities to more than 5,500 students at all levels. Featuring academic departments of accounting, finance, marketing, insurance and real estate, management, and supply chain and information systems, the college is also home to major research centers such as the Center for Supply Chain Research, the Institute for the Study of Business Markets, the eBusiness Research Center, the Farrell Center for Corporate Innovation and Entrepreneurship, the Center for Global Business Studies, and the Center for the Management of Technological and Organizational Change.

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