The role of subsidy policies in modernizing the structure of the bus transit industry

Abstract

Full reliance on conventional forms of bus transit for peak hour needs reduces industry productivity and creates major new subsidy requirements. Restructuring of transit is needed to enable paratransit integration and other innovations than can improve efficiency. This paper discusses the industry's long-term neglect of efficiency and describes subsidy policies that would promote necessary changes. © 1980 Elsevier Scientific Publishing Company.