[PDF][PDF] Direct Costs of Maintaining a Regulatory Structure: A Case Study of One Canadian Jurisdiction
FR Wilson, JR Brander - Transportation Research Record, 1983 - onlinepubs.trb.org
FR Wilson, JR Brander
Transportation Research Record, 1983•onlinepubs.trb.orgThe majority of research completed in North America lias·~ n diJ'ected to the study and
analysis of the cost of trucklnwrogul11tfon tefatiYe fo the rate structure. Little work has been
completed'lfl the on aly' of thotdiroct cost of regulation as it relates to carriers, shippers,
giivernment.'end regulatory bodies. The results of a study of the direct costs of mlllntoinlno'-e
regulatory structure in the for-hire sector of the trucking industry are discussed. The province
of New Brunswick, 1 of 10 Canadian jurisdictions, was used for the case study. The data …
analysis of the cost of trucklnwrogul11tfon tefatiYe fo the rate structure. Little work has been
completed'lfl the on aly' of thotdiroct cost of regulation as it relates to carriers, shippers,
giivernment.'end regulatory bodies. The results of a study of the direct costs of mlllntoinlno'-e
regulatory structure in the for-hire sector of the trucking industry are discussed. The province
of New Brunswick, 1 of 10 Canadian jurisdictions, was used for the case study. The data …
The majority of research completed in North America lias·~ n diJ'ected to the study and analysis of the cost of trucklnwrogul11tfon tefatiYe fo the rate structure. Little work has been completed'lfl the on aly' of thotdiroct cost of regulation as it relates to carriers, shippers, giivernment.'end regulatory bodies. The results of a study of the direct costs of mlllntoinlno'-e regulatory structure in the for-hire sector of the trucking industry are discussed. The province of New Brunswick, 1 of 10 Canadian jurisdictions, was used for the case study. The data obtained from a series of mailed questionnaires were used to analyze the direct costs incurred by carriers and shippers. In addition, their views regarding the regulatory process were studied. The primary focus was on the costs incurred in making application for a motor carrier license in the case study area. Personal interviews were conducted in an effort to quantify the direct cost associated with the Motor Carrier Board and related government agencies. The direct cost of maintaining the motor carrier regulatory process in the study area did not appear to be of significance to shippers and carriers that have secured operating rights. In addition, the provincial administrative process does not appear to impose a financial burden on general revenues. Carriers that responded to the survey heavily favored continued regulation of the for-hire trucking industry. General freight and specific commodity carriers were also found to be in favor of ensuring that rates within the province of New Brunswick remain unregulated.
During the past two decades considerable research has been devoted to the question of the costs imposed on society by the regulation of transportation. The majority of this research has focused on the question of the deadweight welfare losses associated with value-of-service pricing and the consequent misallocation of traffic among competing modes. Felton's research (1) is an exception to this practice. Felton's work focused on the costs to the Interstate Commerce Commission arising from motor carrier regulation.
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