I don't meant to compare the VC model specifically (though I can see the givaway comparison now that you mention it), just innnovation generally.

I think your point about economic signals is very good - I wonder if any locality charges at cost; does NYC do it now? - though 'charging at cost' undermines the goals: universal mobility, reducing climate impact, reducing congestion, and (I think) increasing economic liquidity and competition (e.g., in the labor market, in retail, etc.).

We need another solution: Maybe vouchers for people based on income? That becomes much more complex.

Also, I would gues it impacts ease of use and adoption - imagine being able to just hop on any passing bus, as opposed to finding your payment, going only through the front door, paying, etc.