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Who Will Hail Taxis in a Deregulated Market? A Comment

Author

Listed:
  • Schuurmans-Stekhoven, James B.

    (Commonwealth Grants Commission, Braddon, Australia)

Abstract

Based on partial equilibrium analysis (PEA), Gaunt and Black (1994) and (1996) call for the immediate deregulation of the taxi industry. However, market failures-such as imperfect information, policing costs, price discrimination and fraud-may limit the benefits from deregulation and may, on occasions, result in higher taxi fares. This paper questions the merits of using PEA to analyse deregulation of the taxi industry, but does not claim that current regulations are socially optimal.

Suggested Citation

  • Schuurmans-Stekhoven, James B., 1996. "Who Will Hail Taxis in a Deregulated Market? A Comment," Economic Analysis and Policy, Elsevier, vol. 26(2), pages 177-183, September.
    • Handle: RePEc:eee:ecanpo:v:26:y:1996:i:2:p:177-183
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    More about this item

    Keywords

    Deregulation; Regulation;

    JEL classification:

    • L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
    • R48 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Government Pricing and Policy

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