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Jules Dupuit And The Railroads: What Is The Role Of The State?

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  • Poinsot, Philippe

Abstract

The emergence of railroads in France in the nineteenth century raised new debates on analytical issues. The issue lies in the fact that they are natural monopolies. In this paper, I focus on Jules Dupuit’s work on the operations of the railroads. Curiously, he seemed to have defended two contrasting positions: on the one hand, he claimed that unlimited competition is the most efficient way to operate in the railroads; on the other, he stated that State management was the best way to run them. I aim to restore the consistency of Dupuit’s positions. I show that, for him, unlimited competition is not possible in the railroads and that it is not necessarily good for the welfare of society. Therefore, the State should regulate this sector. Then, I specify the conditions under which Dupuit believed the State should manage the railroads instead of offering concessions to private companies.

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  • Poinsot, Philippe, 2016. "Jules Dupuit And The Railroads: What Is The Role Of The State?," Journal of the History of Economic Thought, Cambridge University Press, vol. 38(2), pages 189-209, June.
    • Handle: RePEc:cup:jhisec:v:38:y:2016:i:02:p:189-209_00
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    Cited by:

    1. Poinsot, Philippe, 2018. "Redistribution and indirect effects of transport policy and projects in Jules Dupuit's thought," Transport Policy, Elsevier, vol. 70(C), pages 40-45.
    2. Rothengatter, Werner, 2019. "Approaches to Measure the Wider Economic Impacts of High-Speed Rail and Experiences from Europe," ADBI Working Papers 946, Asian Development Bank Institute.
    3. Rothengatter, Werner, 2018. "Mr. Dupuit and the marginalists," Transport Policy, Elsevier, vol. 70(C), pages 32-39.
    4. Talvitie, Antti, 2018. "Jules Dupuit and benefit-cost analysis: Making past to be the present," Transport Policy, Elsevier, vol. 70(C), pages 14-21.

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