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Deregulation And Innovation In Railroad Shipping Of Agricultural Commodities: 1972-1995

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  • Wilson, Wesley W.
  • Wilson, William W.

Abstract

This paper describes the important changes that occurred in the U.S. grain handling and transportation system in the period following deregulation in 1980. This system has evolved and will continue to do so in response to technological and institutional changes, competitive pressures, and a changed regulatory regime. The effect has been to induce investments throughout the system ultimately to improve the efficiency. Some of the important rail innovations include the use of rate discounts to induce more efficient movements from origins first, and more recently at destinations. In addition, each railroad has adopted car allocation systems comprising several mechanisms, giving shippers logistical choices which have also facilitated more efficient allocation of cars among shippers. Finally, a number of important implications for the Canadian industry are identified as it evolves through its forthcoming changes.

Suggested Citation

  • Wilson, Wesley W. & Wilson, William W., 1998. "Deregulation And Innovation In Railroad Shipping Of Agricultural Commodities: 1972-1995," AE Series 23090, North Dakota State University, Department of Agribusiness and Applied Economics.
  • Handle: RePEc:ags:nddaes:23090
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    File URL: http://ageconsearch.umn.edu/record/23090/files/ae98005.pdf
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    References listed on IDEAS

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    1. Wilson, William W., 1998. "U.S. Grain Handling And Transportation System: Factors Contributing To The Dynamic Changes In The 1980s And 1990s," AE Series 23081, North Dakota State University, Department of Agribusiness and Applied Economics.
    2. Clifford Winston, 1998. "U.S. Industry Adjustment to Economic Deregulation," Journal of Economic Perspectives, American Economic Association, vol. 12(3), pages 89-110, Summer.
    3. Wilson, William W. & Priewe, Steven R. & Dahl, Bruce L., 1998. "Forward Shipping Options For Grain By Rail: A Strategic Risk Analysis," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 0(Number 2), pages 1-19, December.
    4. Wilson, Wesley W, 1997. "Cost Savings and Productivity in the Railroad Industry," Journal of Regulatory Economics, Springer, vol. 11(1), pages 21-40, January.
    5. Hausman, Jerry, 2015. "Specification tests in econometrics," Applied Econometrics, Publishing House "SINERGIA PRESS", vol. 38(2), pages 112-134.
    6. Wilson, William W. & Dahl, Bruce L., 1997. "Bidding On Railcars For Grain: A Strategic Analysis," Agricultural Economics Reports 23168, North Dakota State University, Department of Agribusiness and Applied Economics.
    7. Wilson, Wesley W, 1994. "Market-Specific Effects of Rail Deregulation," Journal of Industrial Economics, Wiley Blackwell, vol. 42(1), pages 1-22, March.
    8. Bresnahan, Timothy F., 1989. "Empirical studies of industries with market power," Handbook of Industrial Organization,in: R. Schmalensee & R. Willig (ed.), Handbook of Industrial Organization, edition 1, volume 2, chapter 17, pages 1011-1057 Elsevier.
    9. McFarland, Henry, 1989. "The Effects of United States Railroad Deregulation on Shippers, Labor, and Capital," Journal of Regulatory Economics, Springer, vol. 1(3), pages 259-270, September.
    10. MacDonald, James M, 1989. "Railroad Deregulation, Innovation, and Competition: Effects of the Staggers Act on Grain Transportation," Journal of Law and Economics, University of Chicago Press, vol. 32(1), pages 63-95, April.
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    Public Economics;

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