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- W1569746830 abstract "Peran van Reevan responds to critics of his model in which he suggested that the existence of economies of scale on public transport users’ time costs does not justify subsidies. He suggests that the van Reeven model is very stylized and should not assume homogeneous consumers. He and his co-author build a model based on van Reeven’s 2008 model of a monopolist that provides a public transport service. Because the private car is the primary alternative to public transport, consumers’ reservation prices are likely to be concentrated around entry costs of the private car. The fact that consumers’ waiting costs are external to the public transport monopolist does not constitute a valid economic justification for subsidizing public transport." @default.
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- W1569746830 date "2010-09-01" @default.
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- W1569746830 title "Oversupply or Undersupply in a Public Transport Monopoly?: A Rejoinder and Generalisation" @default.
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