These arrangements help to regenerate cities, increase revenue from local taxes,[1] boost housing values, and encourage mixed use development.
[2][3] European development economists have argued that the existence of modern rail infrastructure is a significant indicator of a country's economic advancement: this perspective is illustrated notably through the Basic Rail Transportation Infrastructure Index (known as BRTI Index).
[6] Note that several operators that do not receive subsidies also exist, including virtually all long-haul and high-speed services in France and Germany.
[citation needed] In 2015, total domestic rail spending by China was $128 billion and was likely to remain at a similar rate for the rest of the country's next Five Year Period (2016-2020).
The Indian railways are subsidised by around Rs 2.4trillion ($35.8 billion), of which around 60% goes to commuter rail and short-haul trips.