Public transport services under market arrangements. Part II: A model of competition between groups of services

In Part I, a theoretical and numerical analysis of competition between public transport services operating on a single route was presented. Here, this treatment is extended in two respects: firstly, to consider demand models which reflect perceived similarities between groups of services; and, secondly, to incorporate the possibility of various forms of collusive behaviour between operators in setting fares and/or frequencies of service. These extensions are of importance in view of the wide range of existing organisational and operating arrangements in public transport systems.