Hybrid markets – a study of deregulated public transportation markets in Sweden
This 4-year research project funded by Riksbankens Jubileumsfond (RJ) is run by Gunnar Alexandersson and Staffan Hultén and also involves Lars Henriksson from the Department of Law. The aim is to analyze and measure the relative merits of different forms of market organization, using the deregulated market for public transportation in Sweden as a case. The underlying idea is that costs and benefits shift as we change the organization of production, how transactions are carried out, and the governance structure. Five journal articles have been published between 2015 and 2018. The results include a novel application of the concept of coopetition (a corresponding concept to hybrid markets) to enhance our understanding of the continuous changes in deregulated markets. Another outcome is the formalization of a model developed from Coase’s and Williamson’s transaction cost theory, using the three cost categories of transaction costs, misalignment costs and bureaucracy costs to analyze how changes in market structure affect coordination costs in deregulated markets.