Taxi Fares - Up 65% in the Past Year

[citygirl]

The price increase is correct. In Oct '09, the meter started at 3.60 & the ficha was 0,38. In Dec '09, it jumped to 4.60 and the ficha went to 0,46. Now it is 5.80 and I believe the ficha is ,52 or ,58 now.

Re - I agree that if you vacation here, BsAs is still a relative bargain (for those vacationers already in South America especially). Living here is when it seems to become less of a bargain. At least for me, who is lucky enough to earn a dollar salary, I find in many categories (clothing, cost of drinks in a bar, the supermarket, obviously anything electronic) - I spend equally as much in dollars as I did in the US. Other areas - restaurants especially, still provide a relative bargain.

 

[darmanad]

The price increase is correct. In Oct '09, the meter started at 3.60 & the ficha was 0,38. In Dec '09, it jumped to 4.60 and the ficha went to 0,46. Now it is 5.80 and I believe the ficha is ,52 or ,58 now.

Re - I agree that if you vacation here, BsAs is still a relative bargain (for those vacationers already in South America especially). Living here is when it seems to become less of a bargain. At least for me, who is lucky enough to earn a dollar salary, I find in many categories (clothing, cost of drinks in a bar, the supermarket, obviously anything electronic) - I spend equally as much in dollars as I did in the US. Other areas - restaurants especially, still provide a relative bargain.

Correct me if I am wrong. Prior to the recent 26% increase, the last fare increase, also about 25%, was in November/Dec of 2009. Before that there was no fare increase in all of 2009 or the end of 2008.
The reality is that you have 2 years during each of which the fare was increased about 25%. That is not a 65% "per year" rise as claimed by you and Katherine Ann. One could only say that the tariff increased 65% cumulatively from pre-Nov 2009 rates to post Oct 2010 rates, but that would not be an accurate measure of the ANNUAL inflation rate. The more accurate statement is that taxi fares have increased about 25% per year. That figure is probably pretty close to (or less than) the real rate of inflation of all goods and services.

 

[citygirl]

I didn't say it was an average 65% annual increase. What I wrote is that in the last 12 months, it costs me about 65% more to get from point A to point B - comparing what I paid in Oct '09 to Oct '10.

The last 4 years have had annual increases in the 20% + range.
'07, 20% increase
'08, 20% increase
'09, 23 (ish)% increase
'10, 26% increase

Again, obviously you find it a bargain here. That's fantastic. I don't.

 

[mini]

Correct me if I am wrong. Prior to the recent 26% increase, the last fare increase, also about 25%, was in November/Dec of 2009. Before that there was no fare increase in all of 2009 or the end of 2008.
The reality is that you have 2 years during each of which the fare was increased about 25%. That is not a 65% "per year" rise as claimed by you and Katherine Ann. One could only say that the tariff increased 65% cumulatively from pre-Nov 2009 rates to post Oct 2010 rates, but that would not be an accurate measure of the ANNUAL inflation rate. The more accurate statement is that taxi fares have increased about 25% per year. That figure is probably pretty close to (or less than) the real rate of inflation of all goods and services.

Um... the title says "Taxi Fares - Up 65% in the Past Year". No one said it was a reflection of the ANNUAL inflation rate.

 

[Damiancho]

I can give you better opinion since my father owned a taxi and rents it to a driver.

There are two types of drivers:
*Owners
*Drivers who rents.

Nowadays, they pay for a 24hs rent about 220 pesos before last fare change.
And now, they must pays exactly 26% more, daily (270pesos)

So, 'drivers' need to work about 8 hours to be "in balance' and then another 5 o 6 hours to ears their 'salary'

Why they speak about 'maffia'? The driver MUST (and really are) be formal employees.
They 'earn' a salary and the owner must pay the taxEs for this (about 1500$)
but the driver only erns the remaining money after paying rent.

When the fare go'es up, the sindicato taxes grows also.

I hope been clear.
Damián

 

[darmanad]

Um... the title says "Taxi Fares - Up 65% in the Past Year". No one said it was a reflection of the ANNUAL inflation rate.

Yes and no. You didnt say it, but I think a fair reading of KatherineAnn's comment quoted below seems to do so. And I think a fair reading of the way you phrase it, a reader would think you are saying 65% was an annual rate raise. In any case, I think we now agree that rates have gone up on average about 25% per year. Do you think that inflation has been much less than that for the years in question?

I didn't say it was an average 65% annual increase. What I wrote is that in the last 12 months, it costs me about 65% more to get from point A to point B - comparing what I paid in Oct '09 to Oct '10.
The last 4 years have had annual increases in the 20% + range.
'07, 20% increase
'08, 20% increase
'09, 23 (ish)% increase
'10, 26% increase
Again, obviously you find it a bargain here. That's fantastic. I don't.

It 's not that just I find it a bargain. All tourists/expats with hard currency find it a bargain. In absolute dollar/euro terms taxis here are still dirt cheap (I'd wager less than half the cost of a Paris cab). Regretably, owing to difficult economic conditions, the salaries of many expats working here are so low that they find taxi rates are high. No one disputes that on a relative basis (average salary to fare cost) BA cabs may be dear, but that's because salaries are so low, not because cabs are expensive in absloute terms. I thought that was understood. See my post #20 above clearly making this point.

Taxis are very expensive considering wages here...and price increases make it very hard to use taxis, since wages unfortunately dont go up 65 percent per year, oh how I wish.

Yes, taxis are in deed expensive here given the salary structure. I didnt think that was in dispute.
I do think someone reading your comment would understand it to mean that the rates have been rising 65% per annum.

OK. No sense of further beating this horse...

 

[citygirl]

It 's not that just I find it a bargain. All tourists/expats with hard currency find it a bargain. In absolute dollar/euro terms taxis here are still dirt cheap (I'd wager less than half the cost of a Paris cab). Regretably, owing to difficult economic conditions, the salaries of many expats working here are so low that they find taxi rates are high. No one disputes that on a relative basis (average salary to fare cost) BA cabs may be dear, but that's because salaries are so low, not because cabs are expensive in absloute terms. I thought that was understood. See my post #20 above clearly making this point.
.

No - not ALL expats with hard currency find it a bargain. I earn a US salary and am paid in dollars. As I've stated, I pay more IN DOLLARS here than I do for many things IN DOLLARS in the US. Food in supermarkets here is more expensive. Clothing is more expensive here. Electronics, cars, etc - MUCH more expensive here. Household goods (sheets, good pots/pans/dishes) - more expensive here.

And despite being lucky enough to receive a salary in dollars, I have found my costs have increased substantially. And due to the increases, I have made adjustments including no longer taking taxis on a regular basis.

YMMV - congrats to you.

 

[darmanad]

http://www.taxi-paris.net/page38.html​

You are entitled to your own opinion, but not your own facts. If you think that BA taxis are expensive in absloute terms, then you ae misinformed. See the above link for european taxi rates.
The drops in New York, London and Paris are all 12 about pesos at today's exchange rates. Meters in Paris run at about 5 pesos per km, more after 5pm. In London it is about 9 pesos per km. Both have a minimum fares in excess of 34 pesos. Most other European cities seem to be more expensive. In Paris, when the cab is stopped in traffic, the meter runs at an astronomical 165 pesos per hour, more after 5pm.
All reasonable people would agree that in comparison, BA cabs are cheap.

You still have not answered my query about whether cabs fare increases have exceeded inflation for all other goods and services. It is cab fare I thought we were discussing, not the other things you mentioned.

 

[citygirl]

Well..if you go by the official government figures on inflation, then yes - the increase in cab fare far exceeds inflation and has for the past 5 years.

Yes, in absolute terms, if you have dollars - in this specific situation, taxis are still cheaper than then are in the US or Europe. You didn't specify taxis when you announced that all expats earning in hard currency find it a bargain here. Hence my response. And compared to other transportation options (bondi or subte), taxis are a luxury which some (expat and porteño alike) find cost-prohibitive.

You are in a situation where obviously the increase in prices doesn't impact you. Again - that's great. I might advise you to be cautious in announcing that to the entire world. It's a bit insensitive at best since 90% of those here do live in pesos and are feeling the effects and at worst, might make you a target.

And with that, I will bow out of this thread - I have a meeting to go to and it will take me a little bit longer since I'll be taking the subte to centro...

 

[darmanad]

aw, forget it.