SEPARATE FREIGHT RATES FOR WEIGHT AND CUBE

Separate flat prices for the carrying of weight and the accommodation of cargo volume are proposed. Adoption of this pricing method can be viewed as a refinement of the venerable principle that the charge per unit of weight should rise as density decreases. Advantages of this refinement include (a) a particularly simple relationship between ideal price and marginal cost and (b) true revelation of customer valuations of proposed transportation services. In the small-numbers case, such revelation also requires that prices be based on a submarginal bid. A history of separate prices might provide additional guidance for transportation-system design.

• Record URL:
  • https://catalog.hathitrust.org/Record/001070572/Home
• Availability:
  • Find a library where document is available. Order URL: http://worldcat.org/issn/10461469
• Supplemental Notes:
  • Published in conjunction with the Canadian Transportation Research Forum.
• Corporate Authors:

  Transportation Research Forum

  1133 15th Street, NW, Suite 620
  Washington, DC  United States  20005
• Authors:
  • Sonstegaard, M H
• Publication Date: 1987

Media Info

• Features: Figures; References;
• Pagination: p. 342-345
• Serial:
  • Journal of the Transportation Research Forum
  • Volume: 28
  • Issue Number: 1
  • Publisher: Transportation Research Forum
  • ISSN: 1046-1469
  • Serial URL: https://trforum.org/journal-of-the-trf/
• Publication flags:

  Open Access (libre)

Subject/Index Terms

• TRT Terms: Costs; Freight transportation; Prices; Rates; Volume; Weight
• Subject Areas: Administration and Management; Finance; Freight Transportation; Highways; Society; I10: Economics and Administration;

Filing Info

• Accession Number: 00465400
• Record Type: Publication
• Report/Paper Numbers: HS-040 635
• Files: TRIS
• Created Date: Feb 29 1988 12:00AM