.2008 By The End Of The Economic Interpretation Of The Taxi Strike Transport Events

This paper points out that taxicab industry has three managing characteristics: degree of irreplaceable; flow and individualized services; the taxi-driver is a piece-worker subject to the supervision and guidance of the company. Elaborating the three characteristics can make people easy to understand why the taxi-strikes could occur, why a variety of company organizations could occur in taxi industry in every large city, and why the price of taxicab is a price system. This paper demonstrates that the big rise of oil and gas prices which are of great significance to taxi industry lead to the strikes in more than a dozen cities at the end of 2008.This paper also points out a very key perspective that most scholars have ignored in the past: It is the most important resource of the taxi franchise that the right to using urban road resources. License-control based on ownership of economic resources is distinguished from that of no ownership. Just as that it is totally different between the license-control of lawyers, doctors, accountants and the number-control of land-assigning by local government. This paper summarizes the property right nature and the structure of taxi franchise, and raises a new view that as long as taxi franchise can be assigned or transferred, what belongs to the government or the individual is not very important. It is the key prerequisite condition determining the maximum efficiency that whether the economic resource can be assigned or transferred. The analysis and views in this paper could be applied in all other public utility or franchise areas.