Road Pricing and Bus Service Policies
This paper focuses on the fare and frequency of bus services when underpriced automobiles and buses use the same road. Three types of bus provision are considered: (1) second-best, (2) private monopolistic operation, and (3) operation under zero-profit constraint. By incorporating congestion interaction, this paper derives a decision rule on each bus service. Moreover, by investigating the effect of road pricing, it is shown that the direction of change in bus fares and private welfare depends on type of provision. More importantly, it is shown that private welfare can be improved even without revenue recycling due to the congestion interaction. © 2009 LSE and the University of Bath
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
When requesting a correction, please mention this item's handle: RePEc:tpe:jtecpo:v:43:y:2009:i:1:p:25-53. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Christopher F. Baum)
If references are entirely missing, you can add them using this form.