Licensing cabs: What deregulation achieved in Ireland

Carpe Diem quotes from the report:
Following these fundamental changes to the market, there was a sharp increase in the number of taxis. By the end of 2001, the number of taxis in the Dublin area had doubled from 2,700 pre-liberalization to 5,500. These trends continued, so that by the end of 2003, the number of taxis in the Dublin area had increased to 8,400. Similar trends were seen in the country as a whole. In 2000, there were a total of 4,200 taxis in the country and this had risen to 16,000 by end 2004."
Mark Perry adds . . .
Deregulation also led to a significant reduction in waiting times for a taxi, from 11.5 minutes in 1997 to 6.2 minutes in 2008, resulting in an estimated value of time savings of more than $400 million annually for Irish consumers. This is a good example of how excessive regulation stifles competition, leading to high prices and poor service, and how deregulation restores competition (often the best "regulator" of all), resulting in lower prices and better service.

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