The regulation of the trucking industry—deterministic replacement model application |
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Authors: | Shaul P Ladany |
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Institution: | Department of Industrial Engineering and Management, Ben‐Gurian , University of the Negev , Beer Sheva, Israel |
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Abstract: | An attempt has been made to analyze the impact of a country's regulatory policy of its trucking industry on the correlation between the preferable usage of trucks according to national interests and its counterpart according to private interests, by using a deterministic replacement model. Operational data has been obtained from time series derived from a cross‐sectional survey of the country's truck fleet. Trucks were grouped into 15 strata according to characteristics of load capacity, technological specification, and type of fuel. For each stratum the optimal replacement age was determined according to the criteria of minimal average cost of hauling ton × km, maximal average profit, and minimal average annual cost, and the corresponding costs or profits were calculated for both interests. By comparing the optimal conditions in the various strata, the preferable fuel types and load capacities were determined for the national interest and recommendations for regulation have been provided coinciding the national and private preferences in utilizing trucks. |
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