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Why aren't all Truck Drivers Owner-Operators? Asset Ownership and the Employment Relation in Interstate for-hire Trucking

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Author Info
Jack A. Nickerson
Brian S. Silverman

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Abstract

Transaction-cost and agency theorists have frequently cited trucks as prototypical user-owned assets, and have consequently predicted a predominance of self-employed drivers who contract with motor carriers. In fact, owner-operators accounted for less than one-third of US trucking activity conducted by large interstate trucking firms in 1991, a proportion that has changed little since deregulation. Given the predictions of organizational economists, why is self-employment in the interstate trucking industry not the dominant organization form? Copyright (c) 2003 Massachusetts Institute of Technology.

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Article provided by Blackwell Publishing in its journal Journal of Economics & Management Strategy.

Volume (Year): 12 (2003)
Issue (Month): 1 (03)
Pages: 91-118
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Handle: RePEc:bla:jemstr:v:12:y:2003:i:1:p:91-118

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  1. George P. Baker & Thomas N. Hubbard, 2000. "Contractibility and Asset Ownership: On-Board Computers and Governance in U.S. Trucking," NBER Working Papers 7634, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  2. Benito Arruñada & Manuel González & Alberto Fernández, 2004. "Determinants of Organizational Form: Transaction Costs and Institutions in the European Trucking Industry," Economics Working Papers 767, Department of Economics and Business, Universitat Pompeu Fabra. [Downloadable!]
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  3. Frank Mathewson & Ignatius J. Horstmann, 2004. "Coordination, Specialization and Incentives: An Equilibrium Model of Firm Boundaries," Econometric Society 2004 North American Winter Meetings 266, Econometric Society. [Downloadable!]
  4. Alper Duman, 2009. "Comparative Analysis of Organizational Forms in the Software Industry and Legal Services," Working Papers 0903, Izmir University of Economics. [Downloadable!]
  5. Marcos Singer & Patricio Donoso & Sven Widdel, 2007. "¿Premian Las Tarifas El Desempeño Del Transportista?," Abante, Escuela de Administracion. Pontificia Universidad Católica de Chile., vol. 10(1), pages 21-55. [Downloadable!]
  6. Francine Lafontaine & Scott E. Masten, 2002. "Contracting in the Absence of Specific Investments and Moral Hazard: Understanding Carrier-Driver Relations in U.S. Trucking," NBER Working Papers 8859, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  7. Francine Lafontaine & Laura Malaguzzi Valeri, 2009. "The deregulation of international trucking in the European Union: form and effect," Journal of Regulatory Economics, Springer, vol. 35(1), pages 19-44, February. [Downloadable!] (restricted)
  8. Sharon Novak & Scott Stern, 2007. "Complementarity Among Vertical Integration Decisions: Evidence from Automobile Product Development," NBER Working Papers 13232, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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