Economics of Scale in Bus Transport: II. Some Indian Experience

Key Points

• The study aims to explore the presence of economies or diseconomies of scale in bus operations in India.
• Analysis of bus operating costs across different terrains and distances
• Comparison of Indian bus operations with British experiences
• Focus on mountainous routes versus city and long-distance routes
• No evidence found for economies of scale in bus operation in India
• Costs on mountainous routes are significantly higher than on city and long-distance routes