by Doug Desjardins
When you think about holiday travel, one of the first things that comes to mind is crowded airports. But this year, lower gas prices and discounts on rail travel could lure more people back to the roads and rails to reach their destination. 
Recent talk about building high-speed rail lines in the U.S. as part of a federal stimulus spending bill has put renewed focus on train travel. A study in Ohio on one of those proposed high-speed lines - a 255-mile link between Cleveland and Cincinnati - estimated that 500,000 people a year would take the train rather than fly or drive. And to take advantage of the current buzz about trains, Amtrak is lowering fares for the holidays, or at least for Thanksgiving.
Amtrak is offering special rates on routes throughout the Northeast that cut 25% off all fares through Dec. 16. The discounts bring the price of a trip from Boston to New York down to $49 and a trip from Philadelphia to Boston down to $60, rates well below round-trip airfare. Amtrak is also offering a 15% discount for seniors (aged 62 and older) for all fares and the same 15% discount for students and veterans. According to Amtrak vice president of policy and development Stephen Gardner, the discounts are designed to build on a breakout year Amtrak had in 2008 when it reported a 20% increase in passengers and record revenue.
Hitting the road for a holiday trip could also be more popular this year, particularly for last-minute travelers who will probably have a tough time finding seats on an airplane. That’s because airlines have reduced seating capacity by 12.5% compared to 2008 (according to the International Air Transport Association) to adjust to a sharp drop in both business and leisure travel. And the low price of gas should encourage more road trips. According to the American Automobile Association (AAA), the average price for a gallon of gas is now $2.53, about $1 less than it was at this time last year.
“As expected, prices at the pump continue to hover around the $2.50 per gallon mark as we enter a seasonally soft demand period,” said AAA spokeswoman Martha Meade. “Likewise, crude oil continues to trade within the $60 to $75 range. Coupled with sluggish demand and a slow economic recovery, gasoline and crude oil are not expected to move in any meaningful direction as we head into the fourth quarter of 2009.”
The AAA has not yet released forecasts for Thanksgiving and Christmas travel but the numbers are likely to be down due to high unemployment and reduced consumer spending. Travel has decreased for every major holiday this year including Labor Day, which saw a 14% decline in travel over the three-day weekend.
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