The Structure Of A Never Regulated Less-Than-Truckload Market In The United States
The structure of the never-regulated, less-than-truckload transport market for Florida ornamentals is examined using concentration ratios, and the Hirchman-Herfindahl, Rosenbluth, and E Indices. The results indicate that this market is not highly concentrated relative to all U.S. markets or to regulated trucking markets. This suggests that the long run structure of the trucking markets where regulations have been relaxed will not be highly concentrated and that economies of size may not be large. It was also found that, despite characteristics favorable to own-account carriage, it plays a minor role in ornamentals transportation relative to in regulated markets. This is consistent with the hypothesis that avoidance of problems and costs related to regulated carriage can be an incentive for firms to adopt own-account carriage.
Volume (Year): 16 (1987)
Issue (Month): 2 (October)
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"The Extent of the Market,"
University of Chicago - George G. Stigler Center for Study of Economy and State
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