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The Rational division of Freight traffic between Road and Rail

The Rational division of Freight traffic between Road and Rail

Cost calculations lead to an analysis of the limits of distance and other factors which determine whether it is rational to send goods by road, by rail, or by a combination of road and rail.

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American inland waterway transport is subject to a complicated system of control by government agencies, which require knowledge of costs. Inland waterway costs have fallen slightly, and a large share of the market has come into the hands of a small number of firms. The authors find increasing returns to scale for size of firm and output.

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