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The Bus Industry: Franchise And The Loss Of Freedom

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  • John Hibbs

Abstract

Political pressure exists for the bus industry to be brought under local authority control by means of ‘Quality Contracts.’These would take away from management the freedom for marketing, and especially for marketing by price, that was returned to them by the ‘deregulation’ of 1985. The proposed franchises would return the industry to the ‘bad old days’ and prevent its continued improvement through market forces from taking place. The Department of Transport considered the idea of franchises in 1985, but concluded that it would merely lead to monopoly power.

Suggested Citation

  • John Hibbs, 2003. "The Bus Industry: Franchise And The Loss Of Freedom," Economic Affairs, Wiley Blackwell, vol. 23(4), pages 46-47, December.
    • Handle: RePEc:bla:ecaffa:v:23:y:2003:i:4:p:46-47
    DOI: 10.1111/j.1468-0270.2003.00443.x
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    Cited by:

    1. John Hibbs, 2007. "The Bus Industry In Danger," Economic Affairs, Wiley Blackwell, vol. 27(4), pages 74-76, December.

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