A Further Case for Unregulated Truck Transportation

W. Miklius and D. B. DeLoach

American Journal of Agricultural Economics, 1965, vol. 47, issue 4, 933-947

Abstract: A frequent allegation is that the unregulated truck-transportation industry chronically suffers from excessive competition because of the industry's structural characteristics. This paper examines the evidence regarding the performance of the industry with respect to this alleged tendency. Alternative explanations for excessive competition are critically examined. Relationships between rates and costs and between rates and distance, and utilization of capacity in the exempt sector suggest that the absence of regulation has not resulted in excessive competition. The findings of this paper strengthen the case for unregulated freight rates in truck transportation.

Date: 1965
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