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The recession experienced in the United States in 1980 had an important impact on the transportation industry, where it led to a substantial reduction in freight movement. Repercussions were felt in all sectors of the industry, but especially in trucking. Continued increases in the price of fuel put added strains on motor carriers and on various segments of public transportation. From March 1979 to March 1980, for example, as gasoline prices rose by more than 68 percent, airline fares went up by 36 percent, and intercity bus and rail fares by about 17 and 18 percent, respectively.
The government pressed this year for deregulation of motor carriers and railroads. A trucking deregulation bill was approved by Congress and signed by President Jimmy Carter in July.
Federal assistance to the transportation industry was slow in coming, mainly because of a budget-trimming mood in Congress.
Increased operating costs created problems for the motor carrier industry. The total cost per mile went from about 59 cents in 1976 to about 89 cents by December 1979, and the figure continued to rise during 1980. The cost of diesel fuel rose from an average retail price of 52 cents per gallon in January 1976 to about $1.05 per gallon by January of this year.
Shippers found that it was uneconomical to use common carrier motor service and shifted to the use of their own trucks or to the use of rail piggyback service. The decline in business was perhaps most acutely felt by the long-distance carriers.
Truckers suffered the pressure of increased competition within the industry, as a result of federal deregulation. The intercity bus lines experienced a modest increase in traffic, but growth was still relatively sluggish compared with some earlier years, despite the enticement of attractive rates. Many small carriers were cutting back on service, largely because of the increased cost of fuel.
Patronage of mass transit continued to increase at a rate of about 7-8 percent a year, in large part because of high gasoline prices, which induced many riders to give up private transportation. Still, faulty equipment, insufficient revenues, and other problems continued to plague mass transit. For example, defects in brakes, engine mounts, and air conditioning were found in some of the new advance-design buses.
There were also signs of health in the field of mass transit. Construction, for example, continued on the Baltimore rapid transit system, with about half of the work already completed. The new light-rail rapid transit service in San Francisco (the Muni Metro) started operations in February. Construction on the light-rail rapid transit line in San Diego moved on at a swift pace. Tunneling was being carried out for a light-rail rapid transit system in Buffalo. The Washington Metro subway line, only one-third completed, was serving a ridership of 270,000 a day. The Atlanta light-rail rapid transit system was running efficiently.
Task 2. Work in pairs. Ask and answer questions using the active vocabulary and the information in the text above.
1) What led to the reduction in freight movement in the United States in 1980?
2) In which sector of the US industry were repercussions felt especially acutely?
3) What put added strains on motor carriers?
4) How mush did intercity bus fares rise in the USA in1980?
5) Which sectors of industry were deregulated?
6) Why was federal assistance to the transportation industry slow in coming?
7) What created problems for the motor carrier industry?
8) What was the cost of diesel fuel in January 1980?
9) Why did shippers shift to the use of rail piggyback service?
10) What did federal deregulation of trucking companies lead to?
11) Why did small carriers cut back on service?
12) What problems continued to plague mass transit?
13) What were the positive trends in the field of mass transit?
Task 3. Fill in the gaps with appropriate prepositions and translate the sentences into your mother tongue. Consult the text above.
1. A trucking deregulation bill was approved ___ Congress and signed ___ the president.
2. An increase ____ the price of fuel put added strains ___ motor carriers.
3. Construction ___ the light-rail rapid transit line in San Diego moved on ___ a swift pace.
4. Defects ___ brake systems were found ___ some of the new advance-design buses.
5. Federal assistance ___ the transportation industry was slow ___ coming.
6. Gasoline prices rose ___ more than 68 percent.
7. Many small carriers cut back ___ service, because of the increased cost ___ fuel.
8. Shippers shifted ___ the use of their own trucks.
9. The cost of diesel fuel rose to about $1.05 ___ gallon.
10. The decline ___ business was acutely felt ___ the long-distance carriers.
11. The government pressed ___ deregulation ___ motor carriers and railroads.
12. The recession had an important impact ___ the transportation industry.
13. The recession led ___ a substantial reduction ____ freight movement.
14. The Washington Metro subway line served a ridership of 270,000 ___ day.
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IV. Grammar exercises | | | I. Active vocabulary |