What does this research mean for the field?

There is no evidence of economies or diseconomies of scale in bus operation in India. Novelty: ClaimNovelty.CONFIRMATORY. Consensus alignment: ConsensusAlignment.NEUTRAL.

What question did this study set out to answer?

The study aims to explore the presence of economies or diseconomies of scale in bus operations in India.

February 28, 2026

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

Abstract

In India, as in Britain, there is no evidence of economies or diseconomies of scale in bus operation. As would be expected, costs are much higher on mountainous routes than for city or long-distance operation.

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