THE RELEVANT MARKET FOR LESS-THAN-TRUCKLOAD FREIGHT: DEREGULATION'S CONSEQUENCES

This article examines the relevant market for freight transportation of less-than-truckload dimensions. Deregulation has altered significantly the character of this market. The result is that old regulatory taxonomies about motor carrier freight no longer mesh with economic realities. From an economic perspective, a market's boundaries are to be large enough to include the products and firms that nonnegligibly constrain the price and output behavior of the firm(s) under antitrust scrutiny. Under deregulation, less-than-truckload motor carriers have come to be constrained not only by their competition with each other, but by an array of transport alternatives. These multiple alternatives render such carriers unlikely prospects for merger or monopolization scrutiny under the antitrust laws.

Language

  • English

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Filing Info

  • Accession Number: 00673991
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Feb 22 1995 12:00AM