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Rate Regulation and Freight Traffic Allocation - A Review and Revision

Sparling, Lee I. (1975) Rate Regulation and Freight Traffic Allocation - A Review and Revision. Social Science Working Paper, 68. California Institute of Technology , Pasadena, CA. (Unpublished)

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The current inflation and recent fuel shortage have focused attention on the allocative effects of regulatory policy. In particular, the Interstate Com1nerce Commission (ICC) has been criticized for inefficiencies arising under its control of entry, rates, and investment in the surface freight transportation industries, and alternative regulatory practices, emphasizing less agency control, have been suggested. The objective of this paper is t6estimate the losses that arise in rail and truck transportation of manufactured goods because the rate structure does not coincide with the costs of providing service. The literature on costs and service of these modes will be examined and updated, and the magnitude of the loss will be developed from a reallocation of current rail-truck traffic in manufactures to the lower-cost carrier. Finally, a more general approach to the evaluation of alternative regulatory policies will be described.

Item Type:Report or Paper (Working Paper)
Additional Information:Revised. Published in Government Policies and Technological Innovation, National Technical Information Service. National Science Foundation, Washington, D.C. 20550. Vol. III, p. 99-113, Research and Policy Studies, PB244573, revised March 1975.
Group:Social Science Working Papers
Series Name:Social Science Working Paper
Issue or Number:68
Record Number:CaltechAUTHORS:20171031-141844202
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Usage Policy:No commercial reproduction, distribution, display or performance rights in this work are provided.
ID Code:82816
Deposited By: Jacquelyn Bussone
Deposited On:01 Nov 2017 16:50
Last Modified:03 Oct 2019 18:59

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