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How America Ended Up Paying So Much for Public Buses

Bloomberg Television | April 25, 2026



Public transit is essential for millions of Americans, but the way buses are procured may be limiting how much service cities can afford. Harvard professor Ed Glaeser says agencies often order highly-customized buses in a market with shrinking competition, while federal funding rules shape how purchases are made. Transit executives argue that operating realities require flexibility, yet agree reform is needed. Could smarter procurement and more competition help cities get more buses for less money?
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Comments

This post currently has 47 comments.

  1. @jedibane

    April 25, 2026 at 3:18 pm

    Why do people need to pay to go to work? The cost should be applied to the employer. Pay to go to school? Pay to go shopping? Absurd. If we want full participation corporate America should pay the bill.

  2. @oleglaptenko514

    April 25, 2026 at 3:18 pm

    We pay that much because the number of people who really pay for a ride is close to 20 %. If you take an evening Bx10 or Bx1 bus, the vast majority of people entering it will ride for free. Why? Because nobody controls this process and nobody confronts them. The process went out of the MTA hands completely. Same situation with the subway fair. On some stations across NYC, it is virtually "open doors". School students never pay, and their parents cherish this idea. The city does not need a populist that does not have an idea what really needs to be done for this city not to become yet another failure. The city needs a team who knows economy, business, administration and law. And who will act responsibly and set an example to everyone.

  3. @FishnChipsM8

    April 25, 2026 at 3:18 pm

    Because public transport doesn't make the bulk of its revenue from fares. It makes money from the properties it owns around large stations that are leased out (ie. office space, malls, store fronts). Use the foot traffic brought by public transport to power rental property prices that are then used to subsidize the actual fare prices. Supporting public transport on fares alone is a tough task.

  4. @neilbarnett3046

    April 25, 2026 at 3:18 pm

    It's because of the car manufacturing lobby. And the American approach to subsidies, "if you don't have a car, you don't deserve to have your life made easier."

    And that somewhere, in every organisation in America, there is somebody saying "we must make more money". Simple as that.

    3:11 This approach is like "the Homer" in the Simpsons, a car for the average American. Search YT for "Homer Designs a Car".

  5. @CKeng-p3b

    April 25, 2026 at 3:18 pm

    The main manufacturers of electric buses are Chinese, like BYD & Yutong, not so much Hyundai. But your anti-China policies, citing non-existing issues like national security etc, has tied your hands.

  6. @erichmeyer8213

    April 25, 2026 at 3:18 pm

    In the wide open Western US (like Denver) mass transit is usually empty unless there is an NFL game. No one but the homeless rides them. Sure in places like NYC you need it but in the Western US most don't ride mass transit.

  7. @rawat-z4z

    April 25, 2026 at 3:18 pm

    I am from india… I always travel by bus….. Here the prices are 10 , 15,20,25 rupees….. Upto 3-4 kilometre you have to pay 10 rupees and in 25 rupees you can travel one side upto maximum destination 😊😊

  8. @AnalytiKroll

    April 25, 2026 at 3:18 pm

    Something not mentioned is that there are no US owned bus manufacturers as the original vehicle manufacturers that pushed diesel buses as the next big step in transit, like GM and Ford, have all but pulled out of the game just like they are doing now to shift the car market from sedans to SUV's. This is a major issue with the Build America requirement forcing local manufacturing of the buses, greatly increasing the cost of foreign made buses which are currently the only option. The closest we had to one was Nova bus of Canada, but they pulled out of the US market last year to focus solely on sales in their own country.

  9. @stefpix

    April 25, 2026 at 3:18 pm

    The fee to ride a bus is generally higher in the USA compared to Europe. The buses are slower, less entrances and exits, less frequent. Also the driver in the USA checks the fares which slows down boarding considerably. Add that time loss for 30/50 stops.

  10. @rogerarnold7

    April 25, 2026 at 3:18 pm

    A lot of this is corruption of one kind or another. Corrupt pricing from the manufacturer. If they don't want to give competitive pricing they should just be sourced from China.

  11. @gman1353

    April 25, 2026 at 3:18 pm

    Electric buses are very expensive period. I think over a million is correct for electric buses, though I have no information as prices are secretive in the industry. In the Uk we are buying lots more Chinese buses as they are cheaper, but when riding them the build quality is poor. American build quality is very poor, but there is no incentive to improve quality because of the buy America act. If you want cheaper buses then let operators buy buses wherever they want which will then drive down costs and increase innovation.
    As for the disparity of prices. If one company buys one or two buses and another group buys hundreds of buses over a two year period , the one buying more buses is going to get an overall better bulk buying deal per bus.

  12. @verdi2310

    April 25, 2026 at 3:18 pm

    The problem now is, normal/sane politicians can not focus on actual problems of the cities and populations, because they are dragged into this absolute pathetic CuLtUraL wAr that was invented by the dumbest individuals in the world.

  13. @williamwoody7607

    April 25, 2026 at 3:18 pm

    This is pure bullshit. Buses are produced by companies that are owned by private equity. There’s no reason for them to do better for less, SO THEY DON’T. Quite the contrary. The same thing is true in fire trucks.Any Chinese fire truck costs 1/3 the price of an American fire truck, and can be shipped in a year. Look it up. Bloomberg is a big part of the problem. THEY WILL NEVER TELL YOU THE COMPLETE STORY. How could they?

  14. @Momowowo8

    April 25, 2026 at 3:18 pm

    36ft yutong bus (largest bus manufacturer in the world) goes for $150k😂 their buses are widely seen in other parts of the world just not in the US. Same thing with the ban on chinese passenger EVs, though the only thing with ev buses is that its technically paid by public funding and imagine how much corruption is going on behind that 1m price tag 😂

  15. @shtetlPhotoman

    April 25, 2026 at 3:18 pm

    I hate these new limousine busses with the seats down close to the road surface. Many local municipalities use them. They are extremely painful as every tiny bump is a shock to the body. Just get them off the road

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