IDEAS home Printed from https://ideas.repec.org/a/cje/issued/v21y1988i4p835-45.html
   My bibliography  Save this article

Land Use, Supply, and Welfare Distortions Induced by Inefficient Freight Rates

Author

Listed:
  • Ann M. Carlos

Abstract

Although the contribution of railroad investment to Canadian econom ic development has been extensively analyzed, the consequences of the freight rate structure have not been examined. This paper is concerne d with how various pricing policies affect land-use patterns, agricultural supply, and welfare. It is shown that the Crow's Nest Agreement left freight rates 44 percent, and a (counterfactual) monopoly rate 70 percent, above marginal cost. The model and data imply reductions in supply and land use of 32 percent and 50 percent for these two pricing scenarios respectively. A new figure for aggregate Prairie land rent in 1901 is calculated also.

Suggested Citation

  • Ann M. Carlos, 1988. "Land Use, Supply, and Welfare Distortions Induced by Inefficient Freight Rates," Canadian Journal of Economics, Canadian Economics Association, vol. 21(4), pages 835-845, November.
    • Handle: RePEc:cje:issued:v:21:y:1988:i:4:p:835-45
    as

    Download full text from publisher

    File URL: http://links.jstor.org/sici?sici=0008-4085%28198811%2921%3A4%3C835%3ALUSAWD%3E2.0.CO%3B2-Y
    Download Restriction: only available to JSTOR subscribers
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cje:issued:v:21:y:1988:i:4:p:835-45. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Prof. Werner Antweiler (email available below). General contact details of provider: https://edirc.repec.org/data/ceaaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.