[in Japanese]

View full abstract

[in Japanese]

View full abstract

The purpose of this paper is to investi-gate the influence of producers and consumers on economic regulation, which is composed of entry and price regulation, concerning taxicab industry in Tokyo. The theory of economic regulation indicates that the regulation would have a more beneficial effect on producers than on consumers. But, if differences in the cost of seeking economic rent can be discerned among producers, the law of demand can be used to derive implication concerning regulatory behavior. Therefore, we infer that the regulator response to a variety of reactions among producers differently.
We have the following results : first, as shown by the theory of economic regulation, the regulation for taxi market in Tokyo has a more beneficial effect on producers thann on consumers. Second, there exists a difference in policy response among producers, which reflects the cost structure of seeking economic rent among producers.
The results obtained are generalized to a number of regulated industries where there exists the difference in cost structure among producers (and/or consumers) .

View full abstract