5 ms·
Taxi ranks at (wealthy) airports are almost never subject to market competition. To avoid crowding and crime, some number of drivers or companies get permission
by Bartweiss 10y ago
Taxi ranks at (wealthy) airports are almost never subject to market competition. To avoid crowding and crime, some number of drivers or companies get permission to pick people up at the airport, and everyone else is shut out. Other taxis can drop you off, but not pick up a return fare. Usually this comes with fixed prices to avoid extortion, but if it doesn't you get this oligopoly pricing.
Incidentally, this is part of the vehement objection to Uber - on-demand pickup still happens, which breaks the stranglehold on cab ranks.