No, that still contains the main problem of separation, and the tricky shifting of externalities. I won't call the Swedish reform a big success (you mention tickets and freeriding), not to mention the similar British one.

That is a problem even if you have it all state owned.

I'm not sure. Present-day state unwillingness to finance line construction is linked to an intention to sell it all off with time; and also to a lack of real interest in public transport and moving freight onto the rails and sustainability, whatever the rhetoric -- but that's again linked to the privatisation drive, too. So a "fully state-owned railway that's meant to remain so" is a hypothetical -- one predicated upon some policy motivation on the part of politicians.

E.g. I think a 100 years ago, you would have gotten that rail link.

_{*Lunatic*, n.
One whose delusions are out of fashion.}