WOULD LIMITS ON DIVERSIFICATION PUT MORE MONEY INTO THE RAILROADS
This article examines the appropriateness of tightening the regulatory restrictions to inhibit the diversification activities of railroad holding companies as a safeguard against further disinvestment in rail service through diversion of assets of the railroad subsidiaries. Based on the experience in other regulated industries such as public utilities and banking, where the holding company form of organization prevails to varying degrees, the Interstate Commerce Commission could have new powers. The author concludes that the only course of action to arrest disinvestment in railroad properties is to create an environment that will permit the earning of profits obtainable on investments in other sectors of the economy.
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Simmons-Boardman Publishing Corporation508 Birch Street
Bristol, CT USA 06010
- Richardson, L K
- Publication Date: 1977-6-27
- Features: Tables;
- Pagination: 4 p.
- TRT Terms: Conglomerates; Diversification; Industry structure; Profitability; Regulations; Return on investment
- Old TRIS Terms: Government regulations
- Subject Areas: Administration and Management; Law; Railroads;
- Accession Number: 00157968
- Record Type: Publication
- Files: TRIS
- Created Date: Aug 31 1977 12:00AM