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Source link: http://archive.mises.org/16585/rent-seeking-in-the-nashville-limo-industry/

Rent-Seeking in the Nashville Limo Industry

April 21, 2011 by

This is all about public safety, of course. HT: Bryan Caplan.


J. Murray April 21, 2011 at 1:26 pm

Can’t drive 7 year old SUVs, huh? Just wait until some State gets the bright idea to ban all cars over 7 years old from the roads.

Freedom Fighter April 22, 2011 at 10:13 am

Or require yearly expensive inspections too meet regulations requirements.
And everytime you get pulled over by the police, they will also ask you pass an inspection.

BioTube April 21, 2011 at 1:45 pm

That’s not blatant corruption.

augusto April 21, 2011 at 2:29 pm

In the city I live, the municipal “Public Transportation Company” is currently opening bids for the city’s ~90 bus lines. One of the catches is that any bus company that wishes to bid for a line must agree to keep its fleet with buses built in the past 3 years.
The last time the city had a similar bidding process, this rule was also in place. The result was catastrophic: *all* bus companies ended up in debt, running with very old buses, canibalizing broken buses for spare parts, not paying employee’s pensions, and so on. Oh yeah, because public transportation is a fundamental right, eventually the City stepped in, temporarily seized all buses and operated the system. The result? A long string of accidents: wheels popping out of moving buses, engines catching fire, a broken steering bars and buses falling into the river…
So of course, the conclusion was quite clear, “the government must impose tighter regulations”…
Ten years ago, when I moved here, a bus trip to the biggest town nearby would take about 1 1/2 hour, from bus station to bus station. It now takes at least 2 1/2, and it’s called progress.

Ned Netterville April 22, 2011 at 3:01 pm

In Chattanooga, TN, pedicabs were essentially prevented from operating profitably by onerous regulations devised by existing, transportation operators in league with fascist city administrators to keep out the competition. Although subsequently repealed, one clause of the original regulations, in blatant violation of the First Amendment, prohibited advertisements on pedicabs!!! Most pedicab companies depend on advertising revenue, often places earning more from ads than fares. Another reg, added when the advertising ban was repealed, prohibits taxicabs from crossing any of the three bridges between N. and S. Chattanooga, even though the Walnut Street bridge, which is a street-wide pedestrian bridge that bikes constantly ply and on which pedicabs not only do not create any hazard, but would be most welcome particularly by impaired pedestrians for whom the span is a very long and arduous walk. In my experience–many years worth–city and county politicians and bureaucrats are petty tyrants, full of themselves and little else. Regulations are a potent implement in their bag of graft-producing tools.

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