Journal ArticleDOI
Will the fare be fair? An examination of the pricing effects of the privatization of rail services
P.K. Else,T.J. James +1 more
TLDR
In this paper, the authors explore the implications of the proposals for restructuring British Rail within the recently proposed privatization plan and predict that both these changes will lead to higher fares and reduced demand for rail services, largely because individual agents do not take account the effect of their decisions on the other suppliers involved.Abstract:
This paper explores, with the help of a simple linear model, the implications of the proposals for restructuring British Rail within the recently proposed privatization plan. It is particularly concerned with the separation of responsibility for the provision of infrastructure from that for the provision of services, which will create a situation of bilateral monopoly, and the proposals for franchising services to a number of independent operators, creating complementary monopolies. The model predicts that both these changes will lead to higher fares and reduced demand for rail services, largely because individual agents do not take account the effect of their decisions on the other suppliers involved.read more
Citations
More filters
Posted Content
Intermodal competition on some routes in transportation networks: The case of inter urban buses and railways
TL;DR: The authors analyzes the effect of inter urban buses competing on a few routes against trains within an established railway network and shows that this can lead to unprofitable train service on these routes.
Journal ArticleDOI
Evaluating the long term impacts of transport policy: The case of passenger rail privatisation
John Preston,Dawn Robins +1 more
TL;DR: The authors examined the long-term impacts of privatisation of the British National Rail System (BNR) and found that although the reforms have had advantages in terms of lower fares and better service levels, this appears to have been offset by increased infrastructure and train operations costs.
Journal ArticleDOI
Complementary monopoly and welfare: is splitting up so bad?*
TL;DR: In this article, the authors derive an original measure of DWL in an m-sector complementary monopoly and show that with non-collusive pricing DWL may be seriously understated if demand complementarities are ignored, even when m is small.
Regulation Policy in Land Passenger Transportation in Europe
TL;DR: In this article, the authors reviewed the changing regulatory policies toward bus, coach and rail travel in the member states of the European Union and concluded that continued regulatory and organisational reform is required and that this should probably be based on competition for the market for both the operation and the planning of most scheduled bus and rail services.
Journal ArticleDOI
The liberalisation of the internal market for electricity: what choices for Italy?
Monica Giulietti,Renato Sicca +1 more
TL;DR: The most substantial changes and proposal for reform of the Italian electricity industry have been developed recently as a result of the need to transpose the EU directive on the liberalisation of the electricity market to the national level as mentioned in this paper.
References
More filters
Journal ArticleDOI
Price and quantity competition in a differentiated duopoly
Nirvikar Singh,Xavier Vives +1 more
TL;DR: The authors analyzes the duality of prices and quantities in a differentiated duopoly and shows that if firms can only make two types of binding contracts with consumers, the price contract and the quantity contract, it is a dominant strategy for each firm to choose the quantity (price) contract, provided the goods are substitutes (complements).
Book ChapterDOI
Quantity Precommitment and Bertrand Competition Yield Cournot Outcomes
TL;DR: In this article, the authors consider a two-stage oligopoly game where, first, there is simultaneous production, and second, after production levels are made public, there was price competition.
Journal ArticleDOI
Vertical Integration and Antitrust Policy
TL;DR: In this article, the authors show that the United States Supreme Court is mistaken in its implied assumption respecting the influence of integration upon competition and that vertical integration may not, as such, serve to reduce competition and may, if the economy is already ridden by deviations from competition, operate to intensify competition.
Journal ArticleDOI
The Dual of Duopoly Is Complementary Monopoly: or, Two of Cournot's Theories Are One
TL;DR: In this paper, the authors show that Cournot's theories of duopoly and complementary monopoly are formally identical, and furthermore, a precise statement of the correspondence which identifies them serves to extend a famous criticism of the duopoly theory.