Competition analysis of the UK intercity coach market: a structural econometric model

Jules Duberga
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引用次数: 1

Abstract

Abstract This paper investigates the effectiveness of liberalization policy on the intercity coach market in England and Wales and evaluates its impact in promoting competition and enhancing welfare. The paper adds to the current literature by assessing this policy focusing on natural monopolies, deriving a structural model of the industry and using web-scraped key market-level data in the study. Regression analysis and descriptive statistics suggest peripheral routes with a small market size are natural monopolies, where passengers pay higher prices. We estimate a structural model, currently absent from the literature, which shows that these routes are characterized by lower welfare levels. The model allows us to simulate a policy promoting competition on such routes showing that a regulator could generate net welfare gains by implementing a more competitive equilibrium on these routes. This paper confirms the dominant conclusion that unregulated coach industries detrimentally consolidate, as demonstrated in other European markets.
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英国城际客车市场竞争分析:一个结构计量模型
摘要本文研究了英格兰和威尔士城际客车市场自由化政策的有效性,并评估了其在促进竞争和提高福利方面的影响。本文对现有文献进行了补充,对这一政策进行了评估,重点关注自然垄断,推导出行业的结构模型,并在研究中使用了网络抓取的关键市场层面数据。回归分析和描述性统计表明,市场规模较小的外围路线是自然垄断,乘客支付的价格更高。我们估计了一个结构模型,目前文献中没有,它表明这些路线的特征是较低的福利水平。该模型允许我们模拟在这些路线上促进竞争的政策,表明监管者可以通过在这些路线上实施更具竞争力的均衡来产生净福利收益。本文证实了不受监管的客车行业有害整合的主要结论,正如在其他欧洲市场所证明的那样。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
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来源期刊
CiteScore
2.60
自引率
8.30%
发文量
9
期刊介绍: International Journal of the Economics of Business presents original, peer reviewed research in economics that is clearly applicable to business or related public policy problems or issues. The term "business" is used in its widest sense to encompass both public and private sector—governmental, private non-profit and cooperative organizations, as well as profit-seeking enterprises. International Journal of the Economics of Business carries papers relating to three main spheres: The organization—to analyse and aid decision making and the internal organization of the business; The industry—to analyse how businesses interact and evolve within and across industries.
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