Deregulation and the Determinants of Network Access: Evidence from the German Interurban Bus Industry

10 Pages Posted: 3 Aug 2016

See all articles by Kai Hüschelrath

Kai Hüschelrath

ZEW – Leibniz Centre for European Economic Research

Niklas Dürr

ZEW – Leibniz Centre for European Economic Research - Competition and Regulation Research Group

Date Written: July 15, 2016

Abstract

We investigate the characteristics of cities gaining access to the German interurban bus network in the first two years following the deregulation of the industry in January 2013. Applying both parametric and semi-parametric survival models, we find strong evidence that the probability of a city to be added to a provider’s network not only increases with the mere size of its population but also with further demographic characteristics such as average income or the share of young and old inhabitants. Additionally, while an increasing importance of tourism has a further positive effect, a rising automobile density is imposing a significantly negative impact on the probability of a city to gain access to the network.

Keywords: R12, R38, R41, L92, C41

JEL Classification: Urban areas, transport, interurban bus, deregulation, entry, survival analysis

Suggested Citation

Hüschelrath, Kai and Dürr, Niklas, Deregulation and the Determinants of Network Access: Evidence from the German Interurban Bus Industry (July 15, 2016). ZEW - Centre for European Economic Research Discussion Paper No. 16-055, Available at SSRN: https://ssrn.com/abstract=2817285 or http://dx.doi.org/10.2139/ssrn.2817285

Kai Hüschelrath (Contact Author)

ZEW – Leibniz Centre for European Economic Research ( email )

P.O. Box 10 34 43
L 7,1
D-68034 Mannheim, 68034
Germany

Niklas Dürr

ZEW – Leibniz Centre for European Economic Research - Competition and Regulation Research Group ( email )

L7,1
Mannheim, 68161
Germany

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