The negative side of market liberalization: In Dubrovnik and Split, there is “chaos” in the taxi market

first_imgAs in chaos theory, with the momentum of butterfly wings – the market was liberalized and opened, while on the other hand, as always, it led to some new problems and consequences. That is why, as in everything, it is important to monitor how the market is moving on the ground and in the real economy and what are the consequences, sometimes even negative and unexpected, in order to react properly and influence the improvement of the whole system. Of the Act. Last year, the transport guild sent four inquiries to the Ministry of the Sea, Transport and Infrastructure about how to control whether the law respects new carriers, which, as Topic pointed out, can still be called taxi drivers, but did not receive a response. Also, he added, the Ministry of the Interior did not answer the question about the number of traffic accidents in which vehicles that performed taxi transport were involved. INCREASED NEWS: What has caused problems in some destinations, such as Dubrovnik and Split, is the fact that under the new law, local governments must issue licenses to provide taxi services in their area to all licensees, and not as before, only to those in their area. This means that, for example, a taxi driver from continental Croatia can legally taxi along the coast, which is what happens, and a similar phenomenon occurs as overtourism i.e. too many taxis in one area and the local government has no control. “This kind of anarchy on the streets of Split began after the law was passed. Unfortunately, we have also witnessed a number of traffic accidents, where the culprits were unprofessional taxi service providers, and some of them had fatal consequences.”, It is stated in the announcement. Certainly the solution is not to go back and abolish market liberalization, because the market is the best regulator. Of course in this story it is necessary to ensure fair market competition and how to find a solution to stop the negative consequences of the same, especially in the context of illegal taxi drivers, ie those who break the law, but it is certainly great how the taxi market was finally liberalized (the market is the best regulator) and how the law of market competition rules. Who is faster, better, better, more creative, more innovative… he will survive. Precisely to that fact last year the mayors of the cities of Dubrovnik and Split reacted and warned, who pointed out that the liberalization of the taxi market was expected to reduce congestion and provide a more affordable service of using taxi transport for all citizens and visitors. However, as the mayors pointed out, neither effect occurred in Dubrovnik or Split – two cities under UNESCO protection, but under enormous pressure from taxi vehicles. The economy, like tourism, is a living organism, and it is not enough just to make a decision and the matter is resolved. On the other hand, we live in the 21st century where changes are extremely rapid, which directly affect the economy and the way and culture of living. The changes will be faster and faster. Either we adapt or we disappear – that is the rule of today’s modern market competition. THE EFFECT OF CHAOS THEORY: IF YOUR DESTINATION IS NOT IN THAT REGION, YOU MUST NOT GET OFF THE HIGHWAY Carriers also point out that, presumably, with a small number of fines already written, even fewer will be collected, which directly harms the state budget, and the taxi market is flooded with companies that do not report drivers properly, nor are they professionals, but by driving after full-time in their profession they try to earn extra. According to the New Road Traffic Act that has been in force since 2018, it has finally happened liberalization of taxi markets which has led to fair market competition, increased competition, lower prices and higher quality and service differentiation. THE TAXI MARKET IS FINALLY LIBERALIZED “Since the adoption of the disputed Road Transport Act, the Road Inspectorate has either done nothing, or the institutions believe that this information should be kept secret from the citizens who finance it.” Milivoj Topic points out. However, on the other hand, it has led to major problems or the invasion of taxi drivers to the “most tourist” destinations, such as the city of Dubrovnik and Split, which from year to year achieve tourist records, and thus the influx of taxi drivers from all over Croatia. which additionally overload the poor city infrastructure which, under the pressure of tourism, otherwise bursts at the seams. Last year, there were more than three thousand taxis in Dubrovnik, and before liberalization there were about 220, while in Split there were also about three thousand taxis, and according to the city administration, the optimal number is about 650. A representative of that guild Milivoj Topic he wondered who was interested in hiding statistics on these problems and whether Split would have a collapse of 5.000 taxis next season, most of which would damage the reputation of the profession and the city as a tourist center. DUBROVNIK AND SPLIT AGAINST LIBERALIZATION OF TAXI MARKET, WANT TO INTRODUCE ORDER They reacted to the same problem yesterday from Transport Guild at the Association of Craftsmen of Split, who assessed that there is anarchy and disorder on the streets of that city due to unprofessional taxi service providers, and they see the reason for that in the new Law on Road Transport. “Vehicles are rented or borrowed while the disputed companies attract people to work without borders, and when they can no longer maintain their ‘business model’, they go bankrupt and leave behind even millions of debts. ”, conclude in a statement of the Transport Guild at the Association of Craftsmen of Split. last_img read more

Creedon expects tough battle against Clare

first_imgThe Premier County are in fifth place in Division 3 with four games left to play. Tipp yesterday lost out to Fermanagh in Brewster Park on a full time score line of Fermanagh 2-9 Tipperary 0-11. Creedon says his side will need to overcome their Munster rivals this weekend.last_img