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The funding for the T has to come from the state due to how it's structured, meaning the only possible way for funding to increase is for it to come out of the state budget. I agree that it should be handled at a city/local level.

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This is, in fact, a huge part of the problem with the T. A the majority of people that benefit from it -- those outside of Boston who get the gains of its economic benefit without being dependent on it for transit -- are in a position to defund it. It's a microscopic repeat of the US as a whole, where the geographically larger but empty regressive areas can reap the benefits of the more concentrated and productive areas while simultaneously contributing far less but convincing themselves that they're somehow being victimized.

Without Boston, Massachusetts would be significantly poorer. But without the rest of Massachusetts, Boston would be significantly richer.

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