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Yes, all transportation systems would be government owned. Seems too ideological, but the result might solve all transport related issues!


Description

Summary

Travel around a neighborhood: You just step out of your house and walk to the nearest bicycle center. There's one on each street. You swipe your ID card, hop on a bicycle and go to the local grocery store. You swipe your card again and leave the bicycle there while you go shopping. When you come out with your groceries, the bike you came on earlier is gone now. So you swipe your card again, and take another bike back to your street's bicycle center. 
No carbon emissions. 

Travel within the city: Ride a bicycle to the metro station. Get into the metro and go through the newspaper. Get down on the station closest to your office and ride another bike to the office. Perfect morning. 
No traffic jams.

Travel to a nearby town: Take the metro or board a bus. Even the bus stop has a bicycle center. 
No long hours of driving.

Cabs: People who don't want to ride a bike, can avail the regular cab facility (government maintained) for local transportation. 
Affordable price.

Benefits of such a system:

1) The government can monitor the carbon emissions closely. It has the ability and resources to employ the most advanced technology for the transport system.

2) The CO2 generated during the building of roads will go down. Just 2-lane highways would be sufficient instead of 8-lane ones. Even within the cities, the number and width of roads will decrease and those of footpaths and cycle-ways would increase. 

3) This is basically a large scale "car pooling". The amount of CO2 produced per person will go down drastically. 

4) No more dangerous traffic violations or road rage.

5) A fully government owned transport system would make proper utilization and implementation of green energy and technology possible, and give a push to future developments in this field. 

Challenges:

1) The government must take responsibility of making the system feasible, efficient and snag-proof.

2) The transition to such a system will be difficult. It would have to be done in phases, maybe a few townships at a time.


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