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Competition and Industry Structure for International Rail Transportation ∗

By Guido Friebel, Marc Ivaldi and Jerome Pouyet


This paper investigates the impacts of and incentives towards vertical integration or separation between an infrastructure manager and a network operator when downstream services may require the access to multiple networks. We show that returns-to-scale and the intensity of competition in the final markets are key to understanding the impact of vertical integration in this context. We also discuss the impact of the creation of a supra-national infrastructure manager, which would coordinate the access pricing decisions of the various local networks.

Year: 2008
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