File this under Only in America; the recently-passed national transportation bill includes $42 million to fund further research on a proposed Anaheim to Las Vegas (Disneyland to Casinoland) magnetic levitation high-speed rail system, designed to whisk the entertainment-starved between the two spots at speeds up to 310 mph. I can just see parents loading the kids on the Maglev and shipping them off to Disneyland (Walt Disney, NYSE:DIS) while Mom and Dad hit the craps tables in Sin City.

This funding, of course, is only a drop in the enormous bucket of this cutting-edge technology. The final cost to construct the system is currently estimated at $12 billion. Imagine the ticket prices- even more than entry to Disneyland, including refreshments!

The technology, which has been under study for more than 20 years, has been proven in a number of demonstration project and is currently in use in several sites, most notably a 19-mile stretch in Shanghai, China. The advent of superconductors has helped the technology leap forward, and many countries have preliminary plans to construct the systems. In the U.S., various groups are promoting maglev lines connecting Baltimore and D.C., San Diego to a new proposed airport, through the Pittsburgh area, and Atlanta to Chattanooga.

Part of the high cost of such system stems from the need to construct new corridors; maglev trains don't operate on rail, but rather float over a different type of rail on a cushion of air maintained by magnetic repulsion. In this respect, finding a corridor across the southern desert should be easier than in densely inhabited areas.

However, I have to wonder if this makes financial sense. Assuming a round-trip price similar to that of an airline ($172 at this moment on Delta), just to gross $12 billion, this train would have to carry 10,000 passengers a day, every day for 20 years. To net $12 billion, the number would probably be, who know? 100,000 a day?

With countries around the world preparing to build their own demonstration projects, wouldn't it be smarter to learn on their dime, and wait until the economies of scale are in our favor before building such a costly system?

And do you suppose our money could be better spent connecting sites of less ephemeral value? In this instance, I wouldn't mind if what happens in Las Vegas stays in Las Vegas.

On April 3, the American Association of Railroads released its monthly freight movement report for March 2008. The numbers again reflect weak consumer spending, with no relief in sight for the wilted home building industry. Carload volume, which does not include semi trailers or shipping containers, dropped 0.1% compared with March 2007 figures. Intermodal traffic volume consisting of shipping containers and truck trailers loaded on flat cars dropped 5.6% compared with one year ago.

Spurred by the weaker dollar, carload commodities for export are maintaining respectable volume, with carloads of grain increasing 13.9% and carloads of coal increasing 5.9%. However, the AAR press release indicates that of the 19 major commodity categories tracked by the AAR, 12 saw carload declines in March. Carloads of motor vehicles and equipment declined considerably, with a 19.4% drop in loading compared to 2007. Infrastructure and construction staples of crushed stone, sand and gravel showed a carload decline of 13.4% compared with a year ago. Lumber and wood products loadings remain in decline. AAR Senior Vice President John T. Gray gives perspective to the numbers by stating simply: "Recent disappointing economic news helps explain why rail traffic is not more robust."