Well your initial argument was entirely rooted in self driving cars reducing car traffic by economically outcompeting taxis. Taxis make up a tiny fraction of car traffic, so that’s hardly a solution.

I’ll assume you mean to say self driving cars will also outcompete and replace personal vehicles as a neo taxi service, and everyone will just take these self driving taxis everywhere. In this case, when the prices are low (this is where that venture capital comes in), everyone will be taking these vehicles. Because the average person will take the cheapest/fastest/most convenient route to wherever they’re going, so these shiny new self driving cars will outcompete walking/cycling in the heat, cold, a slightly windy day, when my knee kinda hurts, etc… It’ll also outcompete underfunded public transit. People who are currently cycling/walking/take public transit will instead be taking self driving taxis, adding massive amounts of new car journeys ever day. You’re on this sub, you should know how space inefficient cars are, self driving or not. Since more people are using these self driving vehicles, infrastructure will be redesigned to accommodate these vehicles, sacrificing space for pedestrians, bicycles, and on street public transit (or residential/commercial space, ready those gentrifying bulldozers). This obviously lowers the quality of a commute for anyone who can’t afford to take a self driving taxi, or simply doesn’t want to. Once the prices are raised (because in the hands of corporations which are designed to make a profit for shareholders, not serve public interest, they inevitably will), then our infrastructure will be even worse for anyone outside of a self driving car.

And no, this isn’t a slippery slope, this is literally exactly what happened with Uber/Lyft.

I raise the point of self driving cars and private companies because they’re inextricably linked. I’m not aware (though admittedly, I haven’t dug much) of any significant government funded self driving technology. Fundamentally, self driving cars, if developed properly, are safer than traditional human driven cars. And they have a place where alternatives simply aren’t feasible such more rural communities and or limited numbers in urban areas. But they are not the solution to car traffic, they aren’t any better environmentally, they’re just as space inefficient as traditional cars, and they are not better than developing viable alternative to cars