IDEAS home Printed from https://ideas.repec.org/a/taf/jdevst/v51y2014i4p464-483.html
   My bibliography  Save this article

Testing for Fairness in Regulation: Application to the Delhi Transportation Market

Author

Listed:
  • Subrato Banerjee

Abstract

I report a remarkable finding, that regulatory authorities, who have no a priori knowledge of Rabin's 1993 fairness axioms (associated with a very specific utility function), have always proposed legal fares in the auto-rickshaw (three-wheeler) market in New Delhi that satisfy them. Regulated fares are ignored by auto-rickshaw drivers and customers. They bargain on prices among themselves. Newly announced fare hikes are effective enough to ensure the prevalence of legal uniform (non-negotiated) prices for a considerable amount of time. I suggest that the two of the most recent hikes have satisfied Rabin's fairness axioms. The results, I report, are robust to different cooperative games of bargaining.

Suggested Citation

  • Subrato Banerjee, 2015. "Testing for Fairness in Regulation: Application to the Delhi Transportation Market," Journal of Development Studies, Taylor & Francis Journals, vol. 51(4), pages 464-483, April.
    • Handle: RePEc:taf:jdevst:v:51:y:2014:i:4:p:464-483
    DOI: 10.1080/00220388.2014.963566
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/00220388.2014.963566
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/00220388.2014.963566?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:jdevst:v:51:y:2014:i:4:p:464-483. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/FJDS20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.