Competition for Railway Markets: The Case of Baden-Württemberg

Rafael Lalive and Armin Schmutzler

No 5396, CEPR Discussion Papers from Centre for Economic Policy Research

Abstract: This paper studies the effects of introducing competition for local passenger railway markets in the German state of Baden-Württemberg. We compare the evolution of the frequency of service on lines that were exposed to competition for the market and lines that were not. Our results suggest that the competitively procured lines enjoyed a stronger growth of the frequency of service than those that were not procured competitively, even after controlling for various line characteristics that might have an independent influence on the frequency of service. Our results further suggest that the effects of competition may depend strongly on the operator.

Keywords: Competition for the market; Liberalization; Passenger railways; Procurement auctions (search for similar items in EconPapers)
JEL-codes: D43 D44 R48 (search for similar items in EconPapers)
Date: 2005-12
New Economics Papers: this item is included in nep-com and nep-cse
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Citations: View citations in EconPapers (9)

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