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Lessons from the U.S. Transport Deregulation Experience for Privatization

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  • Clifford Winston

    (Brookings Institution)

Abstract

The purpose of this paper is to suggest how the U.S. experience with deregulating its intercity transportation system can identify important considerations for all countries that wish to pursue privatization. Transportation deregulation in the United States gave private railroad, trucking, bus, and airline companies the freedom to set prices, choose which markets to serve, and what level of service to provide. Because U.S. firms were saddled with inefficiencies that developed over decades of regulation, their adjustment to deregulation has been difficult and time consuming. Nonetheless, deregulation has succeeded to a notable extent in the short run and could provide even greater benefits in the long run.

Suggested Citation

  • Clifford Winston, 2009. "Lessons from the U.S. Transport Deregulation Experience for Privatization," OECD/ITF Joint Transport Research Centre Discussion Papers 2009/20, OECD Publishing.
  • Handle: RePEc:oec:itfaaa:2009/20-en
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    File URL: http://dx.doi.org/10.1787/5kmmr3c5lk6b-en
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    Cited by:

    1. Haskel, Jonathan & Iozzi, Alberto & Valletti, Tommaso, 2013. "Market structure, countervailing power and price discrimination: The case of airports," Journal of Urban Economics, Elsevier, vol. 74(C), pages 12-26.

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