>Are you at all familiar with the taxi medallion racket Yes, I am, at least in NYC. They are there to provide some consumer protection. I will be speaking of

>Are you at all familiar with the taxi medallion racket Yes, I am, at least in NYC. They are there to provide some consumer protection. I will be speaking of New York. First of all, a medallion isn't strictly required to operate a taxi-like car (for hire vehicles). It only affords them the permission to pick up passengers who flag a cab off the street. You are allowed to operate what is called a "car services" or "livery cab" too, they are allowed to only pick up and service people who call ahead to arrange the ride. Since the summer of 2012 livery cabs may pick up people who hail a cab outside the borough of Manhattan to serve undeserved populations (excluding the airports). Having a medallion means you are required to pick up any passenger who hails a cab, the first one you see, no matter if they are drunk, homeless, disabled, black, going to an undesired destination or otherwise "undesirable" passengers. Having a medallion also strictly regulates fares no matter what kind of car your medallion taxi is, including flat fees to get to the major airports. Taxis are regulated to look a certain way so you know you're getting into a licensed taxi and not a serial killer van. There are also very regular inspections of the vehicle to make sure it is up to safety standards. The authorities conduct undercover operations that ensure taxis are following the rules. The license plates bear a variation of the medallion number so that police can easily identify violators. It can be said or argued the limits of number of medallions is because there is limited space on the streets and you might not want them to be mostly taxis at the expense of other vehicles, before the medallion system there were at one time more taxis than taxi passengers. You also don't desire taxi drivers working very long hours to make a profit with excessive competition, because they might become fatigued and fall asleep at the wheel. Also the cost can facilitate the funding to enforce the regulations. Is this the best system? I don't know, but it is there for a reason. http://en.wikipedia.org/wiki/Taxicabs_of_New_York_City http://en.wikipedia.org/wiki/Taxicabs_of_New_York_City