A Comparison of Privately and Publicly Owned Bus Companies and a Public Bus Transit Agency (1985)

 

©Antti Talvitie, Ari Heinilä, 1985

A Comparison of Privately and Publicly Owned Bus Companies and a Public Bus Transit Agency

ANTTI TALVITIE and ARI HEINILÄ

ABSTRACT

An examination is made of the level of service provided to patrons, the cost structure, the productivity, and the profitability of the companies that offer regularly scheduled bus service in the Metropolitan area of Helsinki, Finland, which includes the cities of Espoo and Vantaa. Data are given on the following types of bus companies: city-owned, private, and a public bus transit agency, Helsingin Kaupungin Liikennelaitos, in Helsinki. The data are averages, and they conceal a variance that is often substantial.. It is believed that this variance is due more to management and managerial skills than to economies of scale or operating environment. Unit costs of bus transportation in the Helsinki region and the composition of these unit costs are presented. A discussion of productivity concludes the paper.

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