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A taximeter or fare meter is a mechanical or electronic device installed in taxicabs and auto rickshaws that calculates passenger fares based on a combination of distance travelled and waiting time. Its shortened form, "taxi", is also a metonym for the hired cars that use them.
Taxi fares are set by the state and city where they are permitted to operate. The fare includes the 'drop', a set amount that is tallied for getting into the taxi plus the 'per kilometer' rate as has been set by the city. The taxi meters track time as well as distance in an average taxi fare.
According to an April 2011 study by the Chicago Dispatcher, New York City taxis have a relatively low standard fare, charging an estimated $14.10 for a distance of 5 miles (8.0 km) and five minutes' wait time (compared to an estimated $18.48 in West Hollywood and $12.87 in Houston). [39]
Similarly, fare evasion was taken seriously. The TA began formally measuring evasion in November 1988. When TA's Fare Abuse Task Force (FATF) was convened in January 1989, evasion was 3.9%. After a 15-cent fare increase to $1.15 in August 1990, a record 231,937 people per day, or 6.9%, did not pay. This continued through 1991. [151]
The taxicabs of the United States make up a mature system; most U.S. cities have a licensing scheme which restricts the number of taxicabs allowed. As of 2012 the total number of taxi cab drivers in the United States is 233,900; the average annual salary of a taxi cab driver is $22,820 and the expected percent job increase over the next 10 years is 16%.
In the Republic of Ireland, the term taxi is reserved for vehicles that may pick up on streets and where the fare is determined by a meter. Taxi vehicles do not have to be a particular colour but all carry a distinctive roof sign with the licence number prominently displayed, some with the Irish word TACSAÍ instead of the usual TAXI.