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The Legacy of the Interstate Commerce Act and Labor: Legislation, Unionization, and Labor Earnings in Surface Transportation Services

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  • James Peoples

Abstract

The intended purpose of the 1887 Interstate Commerce Act (ICA) was the establishment of the Interstate Commerce Commission (ICC) as a regulatory agency that initially provided oversight of rate and entry of interstate commerce in the rail industry. The ICC’s jurisdiction later included regulation of trucking and bus transportation. An unintended consequence of ICC regulation was the development of labor markets in these sectors that helped promote labor organization and labor rent sharing. Indeed, some of the most influential unions in American labor history represented workers in ICC-regulated industries. This study examines the ICA and its aftermath as it applies to labor in these industries. Copyright Springer Science+Business Media New York 2013

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  • James Peoples, 2013. "The Legacy of the Interstate Commerce Act and Labor: Legislation, Unionization, and Labor Earnings in Surface Transportation Services," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 43(1), pages 63-84, August.
    • Handle: RePEc:kap:revind:v:43:y:2013:i:1:p:63-84
    DOI: 10.1007/s11151-013-9391-y
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    References listed on IDEAS

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    1. David E. Davis & Wesley W. Wilson, 2003. "Wages in Rail Markets: Deregulation, Mergers, and Changing Networks Characteristics," Southern Economic Journal, John Wiley & Sons, vol. 69(4), pages 865-885, April.
    2. Kevin E. Henrickson & Wesley W. Wilson, 2008. "Compensation, Unionization, and Deregulation in the Motor Carrier Industry," Journal of Law and Economics, University of Chicago Press, vol. 51(1), pages 153-177, February.
    3. James Peoples, 1998. "Deregulation and the Labor Market," Journal of Economic Perspectives, American Economic Association, vol. 12(3), pages 111-130, Summer.
    4. Clifford Winston, 1998. "U.S. Industry Adjustment to Economic Deregulation," Journal of Economic Perspectives, American Economic Association, vol. 12(3), pages 89-110, Summer.
    5. Barry T. Hirsch, 1988. "Trucking Regulation, Unionization, and Labor Earnings: 1973-85," Journal of Human Resources, University of Wisconsin Press, vol. 23(3), pages 296-319.
    6. Wilson, Wesley W, 1997. "Cost Savings and Productivity in the Railroad Industry," Journal of Regulatory Economics, Springer, vol. 11(1), pages 21-40, January.
    7. Barry T. Hirsch & Edward J. Schumacher, 2004. "Match Bias in Wage Gap Estimates Due to Earnings Imputation," Journal of Labor Economics, University of Chicago Press, vol. 22(3), pages 689-722, July.
    8. Marcus Alexis, 1982. "The applied theory of regulation: Political economy at the Interstate Commerce Commission," Public Choice, Springer, vol. 39(1), pages 5-27, January.
    9. Ai, Chunrong & Norton, Edward C., 2000. "Standard errors for the retransformation problem with heteroscedasticity," Journal of Health Economics, Elsevier, vol. 19(5), pages 697-718, September.
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    Cited by:

    1. James Peoples, 2014. "Marcus Alexis and Regulatory Reform in Surface Transportation Industries," The Review of Black Political Economy, Springer;National Economic Association, vol. 41(3), pages 243-258, September.
    2. Richard L. Schmalensee & Wesley W. Wilson, 2016. "Modernizing U.S. Freight Rail Regulation," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 49(2), pages 133-159, September.

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