CONSEQUENCES OF REGULATORY REFORM ON THE OWNER-OPERATOR SEGMENT

Since owner-operators provide approximately 25-40 percent of the intercity truck transportation in the United States, any major disruptions to this sector that result from deregulation would seriously impair motor carrier operations. As a result informed policy decisions about deregulation must assess its impact on owner-operators. This paper presents four alternative scenarios for the owner-operator sector in a deregulated environment. Data gathered from a two-year study of owner-operators are then used to assess the likelihood of occurrence for each scenario. The four scenarios range from a prediction of cut-throat competition among owner-operators to one of relative stability and inncreased earnings. Due to the already depressed level of owner-operator earnings, their current high turnover rates, and their increased options that stem from deregulation, it is unlikely that the former prediction will be realized. A more likely possibility is that deregulation will benefit the owner-operators. However, their increased benefits will be in direct proportion to their bargaining power. Multiple-vehicle fleet owners will have more bargaining power in dealing with carriers, shippers, or brokers and, as a result, will benefit more from deregulation than will the single-vehicle owner. (Author)

• Record URL:
  http://onlinepubs.trb.org/Onlinepubs/trr/1980/758/758-009.pdf
• Summary URL:
  http://scholar.google.com/scholar_lookup?title=CONSEQUENCES+OF+REGULATORY+REFORM+ON+THE+OWNER-OPERATOR+SEGMENT&author=T.+Corsi&publication_year=1980
• Availability:
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• Supplemental Notes:
  • Publication of this paper sponsored by Committee on Surface Freight Transport Regulation. Distribution, posting, or copying of this PDF is strictly prohibited without written permission of the Transportation Research Board of the National Academy of Sciences. Unless otherwise indicated, all materials in this PDF are copyrighted by the National Academy of Sciences. Copyright © National Academy of Sciences. All rights reserved.
• Authors:
  • Corsi, Thomas M
• Conference:
  • 59th Annual Meeting of the Transportation Research Board
  • Location: Washington District of Columbia, United States
  • Date: 1980-1-21 to 1980-1-25
• Publication Date: 1980

Media Info

• Media Type: Digital/other
• Features: References; Tables;
• Pagination: pp 56-62
• Monograph Title: Surface Freight: Rail, Truck, and Intermodal
• Serial:
  • Transportation Research Record
  • Issue Number: 758
  • Publisher: Transportation Research Board
  • ISSN: 0361-1981

Subject/Index Terms

• TRT Terms: Deregulation; Economic impacts; Forecasting; Freight transportation; Owner operators; Trucks
• Subject Areas: Economics; Freight Transportation; Highways; Motor Carriers; Society; I10: Economics and Administration;

Filing Info

• Accession Number: 00325466
• Record Type: Publication
• ISBN: 0309030730
• Report/Paper Numbers: N763
• Files: TRIS, TRB
• Created Date: Feb 18 1981 12:00AM