Article ID Journal Published Year Pages File Type
1024149 Transportation Research Part E: Logistics and Transportation Review 2006 29 Pages PDF
Abstract

A diagrammatic approach is used to study the characteristics of the cruising taxi market. For cost modeling, both taxi operator and passenger are taken as service producers. The former provides his vehicle operation and the latter, his waiting and travel time. Market demand is defined as a function of generalized price. It is shown that under short and long run conditions a unique equilibrium exists for a deregulated industry and it corresponds to a monopolistic competition. The relations among the free market equilibrium, social optimum and second best solution are analyzed. Regulations are studied in order to find their social convenience.

Related Topics
Social Sciences and Humanities Business, Management and Accounting Business and International Management
Authors
, , ,