 New York City, the largest city in the United States, can easily afford to have lower taxi fares.The city's more than 12 million residents and 8.25 million visitors have created a vibrant non-stop city in which taxicabs find it difficult to stay empty for very long.The greatest number of taxi trips typically run less than three miles, which is where cabdrivers make the most money, due to the $3.50 "flag drop" (initial dollar-amount when the meter is started) at some of the busiest hours of the day.