Title

A FIRM SPECIFIC ANALYSIS OF ECONOMIES OF SIZE IN THE U.S. URBAN MULTISERVICE TRANSIT INDUSTRY

Document Type

Journal Article

Publication Date

1992

Subject Area

economics - economies of scale, place - urban, mode - mass transit

Keywords

Urban transportation, Transportation economics, Transport economics, Transit, Public transit, Mass transit, Local transit, Level of service, Intracity transportation, Economies of scale, Economics

Abstract

This paper investigates the long-run cost structure of a specific firm of the U.S. urban multiservice transit industry, thereby permitting inferences to be made to the long-run cost structure of similar firms in the industry. The empirical results indicate that the firm exhibits economies of size over a wide service range. Since cost complementarity does not exist for all service combinations, the results do not support the existence of economies of scope.

Comments

Transportation Research Part A Home Page: http://www.sciencedirect.com/science/journal/09658564