Some promising innovations in taxicab operations

Several shared-ride passenger transportation services which could be offered by taxicabs are currently prohibited in U.S. cities by state or local regulations. Although relaxation of these regulations has been advocated on numerous occasions, little regulatory change has occurred to date. Moreover, the taxicab industry has rarely been considered as a potential provider for publicly subsidized transportation services. This paper discusses several promising innovations in taxicab service provisions and subsidy mechanisms which have been implemented or proposed recently in U.S. cities. The paper argues for more well-designed experimentation with such innovations as a means of stimulating greater interest on the part of planners, policy-makers, regulators, and public transportation operators in broadening the role of taxicabs in urban transportation.