In this paper, we study how maritime ferry industries should be regulated. This is a fundamental issue in so far as maritime transport between islands and mainland is a service of general interest. We argue that the policy design crucially depends on the goals the collectivity pursues (pure...

This article examines the welfare implications of an incumbent's pre-commitment to an exclusive contract in a partially regulated environment. It shows that the contract offered to customers in a competitive market makes the first-best allocation infeasible in the partially regulated...