No Stupid Questions
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Amtrak isn't funded by the US government. They have to extract all their funding from operations.
Amtrak's service is bad mainly because the line operators have found ways to make it impossible to effectively operate. That means late and long delayed trains with unpredictable arrival/departure times.
Amtrak is slow, mainly because it has almost no dedicated lines. It has to share them with line operators.
Very few people use amtrak.
The end result is a high price. Few people using amtrak means it has to hike ticket prices up.
The only way for Amtrak to get better is extensive investment by the feds and regulation of rail lines in general. Without that, as you've correctly observed it will always be disadvantaged compared to other modes of transport.
But hey, the war in Iran might make it cheaper than driving so that's something.