I'm stunned by some of the responses to be honest. I think people are taking themselves WAY too seriously and need to enjoy their hobby instead of bashing so much.
I hope there aren't new people reading these responses. You'd think that this was the worst thing Lionel ever did. Note to newbies: A lot of people on here like to stroke their own egos and make themselves seem more knowledgeable than others by pointing out small flaws and exaggerating them. The 3 Rail hobby isn't as strict as other scales so there are more people who are ignorant about what is correct and what isn't. Unfortunately there are people that do know that use the opportunity to make themselves seem superior.
My opinion, have fun. Learn what is correct and what isn't IF YOU want to. If you don't care, then just do what you like. Don't let ANYONE tell you that your compromises are inferior to their compromises! What do I mean? These are all TOYS! I don't care what scale you are in, there are compromises in all of them. I don't see scale air tanks with 3 way valves that actually work on this car. No Glad hands or working coupler cut bars either. So what. It is supposed to be fun. If you like something, don't let anyone convince you that you shouldn't.
You know what's better than knowing something isn't correct and whining about it? Knowing it's not perfect, but being content with your purchase and enjoying it
I've modeled in N, HO, S, S Hirail, 3R, 3RS, 2R (O5W), and On30. I'm building a new 3RS layout because I like big trains, big sound, and big smoke. I wish that there was no such thing as a 3rd rail, but there is. Until 2 Rail Hi Rail catches on I will take the same approach as Mr. Bob Bartizek... I like big trains and they will all run on 36"r and I don't have a huge amount of space so I'll just have to ignore the 3rd rail.
Try to enjoy the hobby.
PS. Here is a photo of a prototype PS-1. It doesn't ride much lower than the Lionel model. It's close enough for me.