Study On Linkage Mechanism Of Beijing Ground Public Transportation Cost-Pricing-Subsidy

As an important part of urban public transport,ground public transportation is an important guarantee for the city's normal operation.In recent years,in the implementation of low pricing and total subsidy policy,the growth in operating cost of ground public transport was much higher than the growth in operating income in Beijing.Bus companies were facing serious losses and the government needed to give bus companies a huge subsidy each year.The development of ground public transport went into a loss-subsidy-then loss vicious cycle.In order to promote the sustainable development of ground public transport,the reform of the public transport ticket pricing system was implemented on December 28,2014.But,if we only depended on the increase of pricing,it could not effectively improve the operation of bus companies and alleviate the pressure of financial subsidies.This paper aims to explore the linkage management of ground bus cost,pricing and subsidy,so as to achieve the benign circulation of ground public transport operation in Beijing.The paper analyzes the status quo and the key problems of the development of ground public transport operation in Beijing from the angle of travel sharing rate,cost management,pricing setting and subsidy policy.According to the analyses,it's clear that the problem of the vicious circle in ground public transport operation is basically caused by the decoupling of costs,pricing and subsidies.The paper discusses the relationship between the ground passenger volume,the cost,the pricing and the subsidy,Based on the principle of enterprise development,residents' acceptability and government affordable,it puts forward the basic framework of cost-fare-subsidy linkage mechanism.Based on the research achievements of domestic and foreign scholars and Cost regulation theory,Ramsay pricing theory,price ceiling theory,principal agent theory,innovative theory and methods,the model of cost-pricing-subsidy linkage mechanism based on passenger volume is constructed.The standard cost is the basic of determining the reasonable return pricing and the regulate pricing.Optimal subsidies are determined basing on the passenger volume,the reasonable return pricing and the regulate pricing.According to the amount of subsidies the dynamic adjustment of pricing is implemented.Through linkage management of the cost,pricing,subsidies,it enhances business motivation of the bus company and improves the efficiency of subsidies.The ground public transport can sustainably develop.Finally,due to verify the applicability and operability of the linkage mechanism,the linkage mechanism model is used to calculate and analyze based on the operation data of bus company in Beijing.And the policy suggestions are put forward to the actual development of public transport in Beijing.It provides an important reference.for the government management of the ground transportation industry to promote its sustainable development in Beijing.