This source would disagree with you about the reason for taxi medallions: https://books.google.com/books?id=VXpyNs5EaHEC&pg=PA119&lpg=PA119&dq=taxi+medallion+e

This source would disagree with you about the reason for taxi medallions: https://books.google.com/books?id=VXpyNs5EaHEC&pg=PA119&lpg=PA119&dq=taxi+medallion+economics&source=bl&ots=uJJmmmmZsi&sig=gLzqx7oq1UaUrYPhm0HGBMgO1hc&hl=en&sa=X&ei=ioJlUYm5Mo_liwKe9IGQCQ#v=onepage&q=taxi%20medallion%20economics&f=false https://books.google.com/books?id=VXpyNs5EaHEC&pg=PA119&lpg=... It confirms the story that I have heard previously that taxi medallions were introduced to protect consumers. This doesn't mean that profit was not a reason but I'd like to see something that shows the "explicit" reason you state.