"Not everyone lives in the city."
no, but a third of america's population lives in new york.
"Also Amtrack was loosing money each year the last time I checked a couple of years ago. "
the companies a long time ago were privatized, while amtrak is owned by the government. the reason amtrak loses money is because of its long-distance services which have little ridership. if it only ran the northeast corridor between new york and dc, it would make a profit. meanwhile, the subsidies that the government gives amtrak are in the millions, rather than in the billions, which is what it gives to airplane and car companies, let alone pay for freeways.
"Also California tried it and is loosing money as well. "
florida has a high-speed rail line and is gaining from it (mainly because it is privately run). california has a publicly funded one and paid loads of money to consultants who lead it the wrong way.
"We are not Europe and do not all live in a small area. "
many cities are close enough to one another for a high-speed rail service. around 400 miles of distance, high-speed rail holds a competition. particularly chicago, indianapolis, detroit, milwaukee, cleveland; the midwest has a large corridor that was built by the railroads back in the past.
"We are too spread out to have trains work in my opinion."
trains worked effectively before general motors lobbied the government into building the freeway.