Download Deregulation of Network Industries: What's Next? by Sam Peltzman, Clifford Winston PDF

By Sam Peltzman, Clifford Winston

ISBN-10: 0815770030

ISBN-13: 9780815770039

This quantity assesses the kingdom of deregulation within the significant U.S. community industries: airways, railroads, telecommunications, and electrical energy. each one bankruptcy identifies the imperative coverage concerns that experience arisen in every one because it undergoes its transformation to a deregulated surroundings. The authors display the failings of ultimate laws and make the case for speedier and extra accomplished deregulation.

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Sample text

Terminals would serve as interchange points for two or more railroads and would have a significant collection and distribution function. 14 Other proposals are less radical. One put forth by the Department of Transportation would give the Justice Department primary authority for approving rail mergers and would authorize the STB to approve more reciprocal switching where added competition would benefit the public interest. Another, the Railroad Shipper Protection Act, would require rail carriers, upon shipper request, to establish a rate between any two points on the carrier’s system where traffic originates, terminates, or may be interchanged.

Managerial and Decision Economics 12 (October): 341–52. S. industry that has been, or ever will be, deregulated because of its poor financial performance under regulation. S. intercity surface freight market, measured by ton-miles, stood at 65 percent. S. 2 In 1970 the nation’s largest railroad, Penn Central, declared bankruptcy along with half a dozen other northeastern railroads. Following Penn Central’s collapse, several midwestern railroads, including the Rock Island and Pacific, the Chicago, and the Milwaukee Road, fell into bankruptcy.

6 All of these factors have boosted profitability. 7 But deregulation was not just a boon for the rail industry. Shippers benefited too. 9 A major factor in deregulation’s success has been the widespread use of contract rates. 6. Association of American Railroads (1999, p. 24). 7. General Accounting Office (1999a, pp. 40–41). 8. Winston and others (1990). 9. The figures in the table should be qualified because they are not counterfactual estimates that control for other influences on rail rates over time, such as increasing use by shippers of their own railcars.

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