Rail costs and capital adjustments in a quasi-regulated environment

Rail costs and capital adjustments in a quasi-regulated environment Friedlaender, Ann Fetter This paper reports on results obtained from estimation of a rail cost function using a pooled time-series cross section of Class I U.S. railroads for the period 1973-1986. Based on the results of this cost function, an analysis is performed of short-run and long-run returns to scale, and adjustments in way and structure capital in the heavily regulated and quasi regulated environments. In general, it is