Assessing the Impact of the Latest Deregulatory Developments in the EU28 Transport Industry Production: a Critical Review Based on Empirical Data

Abstract

The European Transport Industry has been heavily deregulated during the past 30 years,
through initiatives that increase competition among incumbents primarily by reducing the
entry restrictions and by opening the market(s) for non-state owned companies. This paper
discusses the impact the latest interventions by the European Commission in terms of further
opening the transport industry have had. By analyzing current data, the impact of economic
deregulation on the volume of transport industry production is studied. The empirical
evidence confirm the positive impact on the system wide level suggesting the further use of
deregulatory tools in order to support the industry growth. Additionally, recommendations for
further research are made in order to understand more in depth the indirect effects of
deregulation.

JEL Classification: L51, L91, R40