Study - USA - "Where the Buses Run on Time"
Dallas,TX,USA -National Center for Policy Analysis -Mar 23, 2006: -- In Chicago, traffic is a major problem, especially for buses -- wreaking havoc on their scheduled services. However, there are many shortcuts available in the city that bus drivers just don't use, and that is the real problem, says Austan Goolsbee, an economic professor at the University of Chicago Graduate School of Business... Many believe that the problem is that drivers are not paid enough to strategize, but Chicago bus drivers are the seventh-highest paid in the nation; full-timers earn more than $23 an hour. So, the problem may have more to do with how they are paid; at least that's the implication of a new study of Chilean bus drivers, says Goolsbee... However, not everything about incentive pay is perfect; when bus drivers start moving from place to place more quickly, they get in more accidents; yet when given the choice, people overwhelmingly choose the bus companies that get them where they're going on time, says Goolsbee... Source: Austan Goolsbee, Slate Magazine, March 16, 2006
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