transport Coordination and Distribution Efficiency: Pricing Norms and Profit Potential

transport Coordination and Distribution Efficiency: Pricing Norms and Profit Potential

This article argues that carriers have every incentive to co-operate voluntarily in the provision of coordinated services where these are more efficient than service by a single mode. The largest profits flow from the most efficient services. But there must be efficient pricing and shippers must respond rationally.

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Optimal Public transport Price and Service Frequency

Because values of time and passenger behaviour depend on the level of frequency it is found that: (1) in urban public transport there may be one low-deficit local optimum and one high-deficit local optimum, one of which is global; (2) contrary to what might be expected, optimal financial deficit per passenger is typically larger for high frequency services than for low-frequency services; (3) the optimal off-peak may exceed the optimal peak price.

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