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February 28, 2026Journal of transport economics and policy0 citations

Optimal Scale and the Size Distribution of American Trucking Firms

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RKR. Koenker

Key Points

  • The research aims to understand the cost structure and size distribution of American trucking firms.
  • Survey of trucking firms
  • Analysis of average cost curves
  • Examination of firm output levels
  • Average cost curve declines sharply to 6.8 million ton-miles
  • Cost begins to rise gradually beyond that output level
  • Larger firms dominate the industry due to regulatory policies

Abstract

The author’s survey leads him to conclude that the average cost curve declines sharply to an output level of about 6.8 million ton-miles per annum, and rises gradually beyond that. The trucking industry is dominated by firms above that size as a result of the policy of the US Interstate Commerce Commission.

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Cite This Study

R. Koenker (1977) studied this question.

synapsesocial.com/papers/69a286a70a974eb0d3c01c72https://doi.org/10.3828/jtep.1977.11.1.54
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