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Quality and Public Transport Service Contracts

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Author Info
Valerio Gatta () (Facoltà di Scienze Statistiche ed Economiche, Università di Roma "La Sapienza")
Edoardo Marcucci () (Department of Economics, Università di Urbino "Carlo Bo")

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Abstract

Public authorities and transport operators are both involved in the provision of public transport services. There is a contrast between the social goals of the former and the private ones of the latter. Regulation plays an important role especially failing competition. Service contracts are the natural method to set bilateral After a brief description of the most important regulatory procedures, we focus our attention on the quality framework in service contracts. In recent years the inclusion of quality requirements in contracts is becoming common practice, especially when adopting price cap regulation. This paper suggests a criterion for service quality definition, measurement and integration in contracts for the production of socially valuable transport services. Using stated preferences methods and choice-based conjoint analysis to analyse customer preferences we estimate the passengers’ evaluation of different service features and calculate a service quality index. A case study demonstrates the procedure to follow for measuring service quality in local public transport.

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File URL: http://www.econ.uniurb.it/RePEc/urb/wpaper/WP_07_08.pdf
File Format: application/pdf
File Function: First version, 2007
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Publisher Info
Paper provided by University of Urbino Carlo Bo, Department of Economics in its series Working Papers with number 0708.

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Length: 12 pages
Date of creation: 2007
Date of revision: 2007
Handle: RePEc:urb:wpaper:07_08

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Web page: http://www.econ.uniurb.it/
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Related research
Keywords: service quality; stated preferences; service contract.;

Find related papers by JEL classification:
R40 - Urban, Rural, and Regional Economics - - Transportation Systems - - - General
R41 - Urban, Rural, and Regional Economics - - Transportation Systems - - - Transportation: Demand, Supply, and Congestion

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Swait, Joffre, 2001. "A non-compensatory choice model incorporating attribute cutoffs," Transportation Research Part B: Methodological, Elsevier, vol. 35(10), pages 903-928, November. [Downloadable!] (restricted)
  2. Sappington, David E M & Sibley, David S, 1988. "Regulating without Cost Information: The Incremental Surplus Subsidy Scheme," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 29(2), pages 297-306, May. [Downloadable!] (restricted)
  3. William J. Baumol & Alvin K. Klevorick, 1970. "Input Choices and Rate-of Return Regulation: An Overview of the Discussion," Bell Journal of Economics, The RAND Corporation, vol. 1(2), pages 162-190, Autumn. [Downloadable!] (restricted)
  4. Billette de Villemeur, Etienne, et al, 2003. "Optimal Pricing and Price-Cap Regulation in the Postal Sector," Journal of Regulatory Economics, Springer, vol. 24(1), pages 49-62, July. [Downloadable!] (restricted)
  5. Das, Satya P, 1980. "On the Effect of Rate of Return Regulation under Uncertainty," American Economic Review, American Economic Association, vol. 70(3), pages 456-60, June. [Downloadable!] (restricted)
  6. Cremer, Helmuth & De Rycke, Marc & Grimaud, Andre, 1997. "Service Quality, Competition, and Regulatory Policies in the Postal Sector," Journal of Regulatory Economics, Springer, vol. 11(1), pages 5-19, January. [Downloadable!] (restricted)
    Other versions:
  7. Angela S. Bergantino & Etienne Billette de Villemeur & Annalisa Vinella, 2006. "A Model of Partial Regulation in the Maritime Ferry Industry," series 0010, Dipartimento di Scienze Economiche - Università di Bari, revised Feb 2006. [Downloadable!]
  8. Kenneth E. Train, 1991. "Optimal Regulation: The Economic Theory of Natural Monopoly," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262200848.
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. P. A. Ferrari & S. Salini, 2008. "Measuring Service Quality: The Opinion of Europeans about Utilities," Working Papers 2008.36, Fondazione Eni Enrico Mattei. [Downloadable!]
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