ESTIMATING THE IMPACT OF DEREGULATION ON RETURNS TO SCALE AND THE MARGINAL PRODUCT OF LABOR IN TRUCKING. FURTHER EVIDENCE

A labor demand function for US trucking is estimated based on time- series data during 1965-90. Empirical findings show that the impacts of deregulation on returns to scale, the marginal product of labor, and employment elasticities are only temporary. Returns to scale and the marginal product of labor rose first in 1980, 1981 and 1982 and then declined to the pre-deregulation level in 1990. Wage elasticities rose to a high of -0.725 in 1983 and then declined to a low of -0.220 in 1990. Findings in this study are similar to Ying (1990) because he also predicted cost savings and increasing returns to scale after deregulation. However, this study has also found other long-run impacts of deregulation after 1984 that he did not consider. (A)

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  • Corporate Authors:

    GRUPPO EDITORIALE INTERNAZIONALE

    VIA RUGGERO BONGHI, 11/B
    ROMA, ZZ ITALIE    00184
  • Authors:
    • HSING, Y
  • Publication Date: 1994-2

Language

  • English

Media Info

Subject/Index Terms

Filing Info

  • Accession Number: 00663455
  • Record Type: Publication
  • Source Agency: Transport Research Laboratory
  • Files: ITRD, ATRI
  • Created Date: Aug 24 1994 12:00AM