working paper

An Auction Based Collaborative Carrier Network

Publication Date

February 1, 2003

Abstract

In this paper, we examine the for-hire truckload trucking industry in the U.S. and propose a new auction based carrier collaboration mechanism designed to facilitate economically efficient cooperation among functionally equivalent small and medium sized trucking companies based on a post market exchange. An architecture for such a system is proposed and its economic benefits are examined. Analysis shows that the system is a Pareto efficient one in which no participants are harmed and many are better off. The complex decision problems associated with subcontracting, bidding and bid selection in such a system are investigated.

Suggested Citation
Jiongjiong Song and Amelia Regan (2003) An Auction Based Collaborative Carrier Network. Working Paper. ITS-Irvine. Available at: https://escholarship.org/uc/item/2g88d8vc.